{"id":1098878,"date":"2019-02-08T17:29:44","date_gmt":"2019-02-08T17:29:44","guid":{"rendered":"http:\/\/www.mining.com\/?p=969181"},"modified":"2019-02-08T17:29:44","modified_gmt":"2019-02-08T17:29:44","slug":"after-takeover-rejection-solgold-goes-to-cornerstones-shareholders-in-bid-to-grab-ecuador-project","status":"publish","type":"post","link":"https:\/\/juniorminingnews.com\/?p=1098878","title":{"rendered":"After takeover rejection, SolGold goes to Cornerstone\u2019s shareholders in bid to grab Ecuador project"},"content":{"rendered":"

Ecuador-focused explorer SolGold (LON, TSX:SOLG) said Friday<\/a> it was \u201csurprised and disappointed\u201d at how quickly Cornerstone Capital Resources (TSX-V:CGP) dismissed a takeover approach, adding that it will bring the offer directly to the target’s shareholders.<\/p>\n

Last month, SolGold put forward what it called a “premium” offer for Cornerstone\u2019s 15% share<\/a> of the Cascabel copper-gold project in exchange for shares. Less than three hours later, the Canadian firm declined the bid<\/a>.<\/p>\n

\u201cWas there time that early in the morning to actually make contact with the shareholders representing more than 50% of those outstanding? Did\u00a0Cornerstone\u00a0have time to hold a board meeting to consider the offer between the time board members woke up in the morning and the time the press release was issued?,\u201d SolGold questioned on today\u2019s statement<\/a>.<\/p>\n

It took\u00a0Cornerstone\u00a0less than three hours to dismiss\u00a0SolGold\u2019s\u00a0intention to grab the 15% stake it doesn\u2019t yet have in the coveted Cascabel copper-gold project.<\/q><\/p>\n

The company believes consolidating the ownership of Cascabel into one company makes “eminent” sense, and it said it has attempted to do this with Cornerstone in both 2017 and 2018.<\/p>\n

SolGold noted it believed all Cornerstone shareholders should be given the opportunity to make an informed decision, and that an independent review should be conducted by that company\u2019s board.<\/p>\n

Ontario-based Cornerstone handed SolGold an initial 20% of Cascabel, one of the few new copper-bearing projects expected to come online in the near future, with an earn-in option over four years in 2012.<\/p>\n

The asset now has a mineral resource of 2.95 billion tonnes at 0.52% copper, with $117 million spent on exploration.<\/p>\n

Cascabel’s appeal<\/strong><\/h4>\n

Cascabel has attracted quite a few major miners and boosted SolGold\u2019s position in the global market.<\/p>\n

Australia\u2019s largest gold producer, Newcrest Mining (ASX: NCM),\u00a0upped its stake in SolGold<\/a>\u00a0in December to 15.33% from 13.83%, to secure a portion of Cascabel.<\/p>\n

SolGold believes consolidating the ownership of Cascabel into one company makes “eminent” sense.<\/q><\/p>\n

The move further boosted Newcrest\u2019s position in SolGold against No.2 shareholder, BHP, which in September had\u00a0bought a 6.1% stake<\/a>\u00a0in the explorer.<\/p>\n

Ecuador has gained ground as a mining investment destination in the past two years, thanks to a revised regulatory framework and a\u00a0major investor engagement campaign<\/a>.<\/p>\n

Almost a year ago, Newcrest Mining (ASX:NMC)\u00a0took a 14% stake in Lundin Gold<\/a>, which expects to\u00a0bring its Fruta del Norte gold and silver mine<\/a>\u00a0in southeastern Ecuador into production by the end of 2019.<\/p>\n

Anglo American (LON:AAL) also landed in the South American country last year. Through a deal with Canadian Luminex Resources (TSX-V: LR), it plans to develop two copper and gold concessions there.<\/p>\n

Currently, the nation\u2019s emerging mining sector employs 3,700 people, but\u00a0estimates the figure will rise to about 16,000 by 2020.<\/p>\n

SolGold has a 100% interest in 12 copper-gold targets in Ecuador, which it says is under-explored compared to Chile, the world’s top copper producer. The company also has assets in the Solomon Islands and Australia.<\/p>\n

The post After takeover rejection, SolGold goes to Cornerstone\u2019s shareholders in bid to grab Ecuador project<\/a> appeared first on MINING.com<\/a>.<\/p>\n","protected":false},"excerpt":{"rendered":"

SolGold is frustrated at the rejection of its planned bid for Canadian firm Cornerstone, which holds 15% of the Cascabel copper-gold project in Ecuador.<\/p>\n

The post After takeover rejection, SolGold goes to Cornerstone’s shareholders in bid to grab Ecuador project<\/a> appeared first on MINING.com<\/a>.<\/p>\n","protected":false},"author":8,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"site-sidebar-layout":"default","site-content-layout":"","ast-site-content-layout":"","site-content-style":"default","site-sidebar-style":"default","ast-global-header-display":"","ast-banner-title-visibility":"","ast-main-header-display":"","ast-hfb-above-header-display":"","ast-hfb-below-header-display":"","ast-hfb-mobile-header-display":"","site-post-title":"","ast-breadcrumbs-content":"","ast-featured-img":"","footer-sml-layout":"","theme-transparent-header-meta":"","adv-header-id-meta":"","stick-header-meta":"","header-above-stick-meta":"","header-main-stick-meta":"","header-below-stick-meta":"","astra-migrate-meta-layouts":"default","ast-page-background-enabled":"default","ast-page-background-meta":{"desktop":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"tablet":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"mobile":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""}},"ast-content-background-meta":{"desktop":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"tablet":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"mobile":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""}},"footnotes":""},"categories":[404,369,685,440],"tags":[25,33,39,48,71],"_links":{"self":[{"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/posts\/1098878"}],"collection":[{"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/users\/8"}],"replies":[{"embeddable":true,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=1098878"}],"version-history":[{"count":2,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/posts\/1098878\/revisions"}],"predecessor-version":[{"id":1098910,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/posts\/1098878\/revisions\/1098910"}],"wp:attachment":[{"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=1098878"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=1098878"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=1098878"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}