{"id":478854,"date":"2017-04-28T15:59:07","date_gmt":"2017-04-28T15:59:07","guid":{"rendered":"http:\/\/juniorminingnews.com\/?p=478854"},"modified":"2017-04-28T15:59:07","modified_gmt":"2017-04-28T15:59:07","slug":"a-new-standard-in-gold-mining-2","status":"publish","type":"post","link":"https:\/\/juniorminingnews.com\/?p=478854","title":{"rendered":"A New Standard in Gold Mining"},"content":{"rendered":"
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By Byron King<\/a><\/span> <\/p>\n

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This post A New Standard in Gold Mining appeared first on Daily Reckoning.<\/p>\n

Big news just broke in the gold sector.<\/p>\n

The story originated from industry bellwether Goldcorp. It involves a relatively complex set of mergers and business associations, but the bottom line is that a new bar has been set for how the gold mining industry works.<\/p>\n

I believe that this new trend will affect the entire precious metal sector, from large mining concerns down to small juniors. Things are looking up for mining companies and their shareholders.<\/p>\n

Here’s the story: Last month, Goldcorp announced that it entered an agreement with Barrick Gold to develop a major, new gold-bearing mineral district called Maricunga. This area is located in the super-high, very dry Atacama Region of northern Chile.<\/p>\n

Why is this important? Begin with three points:<\/p>\n

This deal is a major step for Goldcorp \u2014 entering Chile, taking the lead from Barrick and developing a vast, new precious metal district
\nThe deal marks a major teaming and risk sharing arrangement between Goldcorp and Barrick
\nThe deal sets a new bar for future merger and acquisition (M&A) activity within the mining space \u2014 paving the way for more of this style of M&A action with major companies, intermediates and juniors.<\/p>\n

Goldcorp and Barrick \u2014 two elephants in the gold mining space \u2014 will set up a 50\/50 joint venture to develop a string of projects in the heart of the Maricunga gold belt. This area is one of the world’s largest undeveloped gold districts.<\/p>\n

The joint venture aspect of this deal alone is important. Two big guys are laying down their corporate credibility, and sprinkling their holy water, so to speak, onto a nearly undeveloped mining patch. It’s a sign that the Mining Zombie Apocalypse of the past five years is truly ending.<\/p>\n

This Chile play is a structured deal with many layers. It begins with Goldcorp buying a 25% share in a project called Cerro Casale from Barrick, Goldcorp is also picking up another 25% stake in this project from Kinross Gold. This gives Goldcorp its \u201c50,\u201d and leaves Barrick with \u201c50.\u201d<\/p>\n

The project itself holds eye-watering levels of gold, silver and copper \u2014 over 23 million ounces of gold, just shy 6 billion pounds of copper, and beaucoup silver. That’s a heck of a lot of metal! Right away, you can see that this is a game-changer for Goldcorp. It doesn’t just move the proverbial needle. It adds an entire new gas tank.<\/p>\n

In addition to the Kinross and Barrick buys to obtain 50% of Cerro Casale, Goldcorp is using its own shares to fund a separate $185 million deal. It’s buying a well-regarded, junior explorer-developer named Exeter Resource Corp. Exeter controls a site called Caspiche, which is also located in the Maricunga belt, about 6 miles north of Cerro Casale.<\/p>\n

Caspiche also offers incredible levels of precious metal \u2014 about 24 million ounces of gold, 54 million ounces of silver and over 5 billion pounds of copper (although these \u2026read more<\/a> <\/p>\n

Source:: Daily Reckoning feed<\/a><\/p>\n

The post <\/a>A New Standard in Gold Mining<\/a> appeared first on Junior Mining Analyst<\/a>.<\/p>\n","protected":false},"excerpt":{"rendered":"

By Byron King This post A New Standard in Gold Mining appeared first on Daily Reckoning. Big news just broke in the gold sector. The story originated from industry bellwether Goldcorp. It involves a relatively complex set of mergers and business associations, but the bottom line is that a new bar has been set for […]<\/p>\n","protected":false},"author":1,"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":[4],"tags":[],"_links":{"self":[{"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/posts\/478854"}],"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\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=478854"}],"version-history":[{"count":0,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/posts\/478854\/revisions"}],"wp:attachment":[{"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=478854"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=478854"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=478854"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}