The Globe and Mail reports in its Wednesday edition that Barrick Gold is selling its idled Lagunas Norte mine in Peru as part of a continuing drive to offload non-core assets. A Canadian Press dispatch to The Globe says that the gold mine, which was placed on care and maintenance in 2019 as it neared its end of life, is being sold to Boroo Pte. Ltd. of Singapore for up to $81-million, plus the assumption of Barrick's closure liability of $226-million (all figures U.S.). Barrick says the deal will give Boroo the opportunity to extend the mine's life by accessing satellite resources and adapting its infrastructure, adding Barrick employees will remain in Peru to continue to develop its portfolio of other gold and copper exploration prospects there. The Lagunas Norte buyer is to pay $20-million initially, $10-million on the first anniversary of closing and $20-million on the second anniversary. It is also to pay a 2-per-cent net smelter return royalty on gold and silver produced through the refractory sulphide ore project, which will end once one million ounces of gold has been produced, plus a contingent payment of up to $15-million based on the average gold price per ounce for the two-year period after closing.
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