For the completion of the deal, Evolution Mining has paid $399m to CMOC Group post preliminary leakage adjustments

Northparkes copper-gold mine

Evolution completes acquisition of 80% interest in Northparkes copper-gold mine from CMOC Group. (Credit: ivabalk from Pixabay)

Australian gold mining company Evolution Mining has completed its previously announced acquisition of an 80% stake in the Northparkes copper-gold mine in Australia from CMOC Group.

For the completion of the deal announced earlier this month, Evolution Mining has paid $399m to CMOC post preliminary leakage adjustments.

It was funded by the recently completed A$525m ($353.3m) institutional placement and a new A$200m ($134.6m) five-year term debt facility.

Besides, Evolution Mining has announced a non-underwritten share purchase plan targeting up to about A$60m ($40.38m) which is expected to close on 16 January 2024.

Evolution Mining managing director and CEO Lawrie Conway said: “We are delighted to have successfully completed the acquisition of an 80% interest in, and operatorship of Northparkes.

“This is another important step in our strategy of building a portfolio of long-life, high-margin assets and delivering us two long-life assets in Central West NSW.

“We warmly welcome our new colleagues at Northparkes who will be joining Evolution today, and now turn our attention to delivering value for all stakeholders over the long term from the high-quality Northparkes operation.”

Evolution Mining has also accepted the obligations of CMOC as a guarantor under the Triple Flag Precious Metals (TFPM) purchase and sale agreement.

The Australian mining company will deliver a percentage of its attributable gold and silver production from Northparkes to Triple Flag over the operation.

CMOC signed the streaming agreement with TFPM in July 2020, making the latter entitled to both gold and silver production.

Located 27km north-west of Parkes, in the central west of New South Wales, the Northparkes copper-gold mine hosts multiple large-scale porphyry copper and gold deposits suitable for bulk cave mining operations.