TSX-listed Premier Gold Mines on Monday confirmed a $205-million offer to buy Centerra Gold’s 50% interest in the Greenstone Gold Mines (GGM) partnership, which owns the Hardrock project, in Ontario.
The acquiring party, Premier said, would be another company that was an assignee of Premier rights under the offer letter. The proposed assignee had the financial muscle to acquire Centerra’s interest and advance Hardrock through to construction.
The assignee also intended to work with Premier to assist in securing the financial resources required for Premier to fund its 50% share of related mine construction costs.
A 2016 feasibility study estimates that the project would require C$1.25-billion in capital.