Published: January 18, 2022 |

[Click image to enlarge]

[Click image to enlarge]

Canada-based SSR Mining has signed an agreement with Endeavour Silver to sell its Pitarrilla project for a total consideration of $127 million.

Located in the State of Durango, Mexico, Pitarrilla is a silver, lead, and zinc project.

The consideration includes $35 million in cash, $35 million in Endeavour Silver shares, and a 1.25 percent net smelter return royalty on the Pitarrilla property currently estimated to be worth up to $57 million.

“The acquisition of Pitarrilla, one of the world’s largest undeveloped silver projects, accelerates our vision to become a premier senior silver producer. We now have a tremendous growth pipeline, which in addition to Pitarrilla includes the Terronera and Parral projects, in a country where we have extensive experience and expertise,” said Dan Dickson, Endeavour’s chief executive officer.

“While Terronera is the next project to be developed, we anticipate that Pitarrilla will be a significant asset in our portfolio and may take priority over the advancement of Parral. We will be in a position to make such a decision once we complete further drilling and analyze the economics of various scales and options for production,” added Dickson.

Endeavour Silver has also agreed to spend a minimum of US$10 million in exploration expenditures on the Pitarrilla project over a five-year period, upon completion of the transaction.

SSR Mining will own nearly 5 percent of the outstanding shares of Endeavour Silver.

The completion of the transaction is subject to TSX and NYSE regulatory approvals and the approval of the Mexican Federal Economic Competition Commission. It is expected to be closed in the first half of 2022.

“With this transaction, SSR Mining continues to deliver on its goal of portfolio rationalization, realizing value for shareholders by monetizing non-core assets. Together with the sale of our non-core royalty portfolio in the third quarter of 2021 and ongoing rationalization of non-core equity positions, SSR Mining has realized in excess of US$235 million in aggregate consideration over the past 7 months,” SSR Mining said in a statement.

Endeavour Silver is a precious metals mining firm that operates two high-grade, underground, silver-gold mines in Mexico. Currently, it is advancing the Terronera mine project towards a development decision.

The company is also exploring its portfolio of exploration and development projects in Mexico, Chile and the US.

In December 2020, Endeavour Silver agreed to El Cubo Mine and related assets to VanGold Mining. El Cubo is an underground gold-silver mine located in El Cubo village in Guanajuato city in Mexico.

Source: NS Energy

About SSR Mining
SSR Mining Inc. is a leading, free cash flow focused intermediate gold company with four producing assets located in the USA, Turkey, Canada, and Argentina, combined with a global pipeline of high-quality development and exploration assets in the USA, Turkey, Mexico, Peru, and Canada. In 2020, the four operating assets produced approximately 711,000 gold-equivalent ounces.

To stop by SSR’s website, CLICK HERE

About Endeavour Silver
Endeavour Silver Corp. is a mid-tier precious metals mining company that owns and operates three high-grade, underground, silver-gold mines in Mexico. Endeavour is currently advancing the Terronera mine project towards a development decision and exploring its portfolio of exploration and development projects in Mexico and Chile to facilitate its goal to become a premier senior silver producer.  Our philosophy of corporate social integrity creates value for all stakeholders.

To stop by Endeavour Silver’s website, CLICK HERE

Be in-the-know when you’re on-the-go!