{"id":1132591,"date":"2019-08-14T14:42:50","date_gmt":"2019-08-14T19:42:50","guid":{"rendered":"https:\/\/www.mining.com\/?p=999342"},"modified":"2019-08-14T14:42:50","modified_gmt":"2019-08-14T19:42:50","slug":"tmac-raises-40m-with-royalty-deal","status":"publish","type":"post","link":"https:\/\/juniorminingnews.com\/?p=1132591","title":{"rendered":"TMAC raises $40m with royalty deal"},"content":{"rendered":"<p>In return for a cash payment of $40 million, gold miner TMAC Resources has sold a 1.5% NSR royalty to Maverix Metals. Maverix already holds a 1% NSR royalty on TMAC\u2019s Hope Bay gold mine in Nunavut.<\/p>\n<div class='d-flex justify-content-center'>\n<div id='div-gpt-ad-1561499308230-0'><script>googletag.cmd.push(function() {googletag.display('div-gpt-ad-1561499308230-0');});<\/script><\/div>\n<\/div>\n<p>TMAC\u2019s president and CEO, Jason Neal, said the royalty amendment would strengthen the company\u2019s balance sheet and allow it to continue to invest in Hope Bay while providing a buffer against operational volatility and funding TMAC\u2019s seasonal sealift.<\/p>\n<p>\u201cWe determined this royalty transaction to be the most attractive cost of capital, preserves the best participation in strengthening gold prices for our shareholders, and importantly has the benefit of maintaining both financial and strategic flexibility,\u201d he said.<\/p>\n<p>Maverix will also make a $3 million equity investment in TMAC at a price of C$6 per share.<\/p>\n<p>The deal includes buyback rights for TMAC, under certain conditions. It also requires approval of lender Sprott Resource Lenders.<\/p>\n<p>TMAC also released results from regional surface exploration and underground drilling at its Doris BTD extension.<\/p>\n<p>Underground drilling at Doris BTD produced highlights including: 1.8 metres of 193.3 g\/t gold, 4.4 metres of 15.6 g\/t gold, and 10.8 metres of 110.8 g\/t gold.<\/p>\n<p>Surface exploration drilling in a new area now called \u201cDoris Valley\u201d returned highlights of 7.5 metres grading 7.7 g\/t gold, 4.8 metres grading 5.3 g\/t gold and 8.5 metres grading 9 g\/t gold.<\/p>\n<p>The company, which has been struggling to improve gold recovery in the plant, produced 78,570 oz. gold in the first half of the year.<\/p>\n<p><em>(This article first appeared in the&nbsp;<\/em><a rel=\"noreferrer noopener\" href=\"http:\/\/www.canadianminingjournal.com\/\" ><em>Canadian Mining Journal<\/em><\/a><em>)<\/em><\/p>\n","protected":false},"excerpt":{"rendered":"<p>TMAC also released results from surface exploration and underground drilling at its Doris BTD extension.<\/p>\n","protected":false},"author":6,"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":"default","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":"","ast-disable-related-posts":"","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-opacity":"","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-opacity":"","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-opacity":"","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-opacity":"","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-opacity":"","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-opacity":"","overlay-gradient":""}},"footnotes":""},"categories":[369,4],"tags":[],"class_list":["post-1132591","post","type-post","status-publish","format-standard","hentry","category-miningcom","category-news"],"_links":{"self":[{"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/posts\/1132591","targetHints":{"allow":["GET"]}}],"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\/6"}],"replies":[{"embeddable":true,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=1132591"}],"version-history":[{"count":1,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/posts\/1132591\/revisions"}],"predecessor-version":[{"id":1132592,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/posts\/1132591\/revisions\/1132592"}],"wp:attachment":[{"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=1132591"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=1132591"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=1132591"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}