- Generation Mining (GENM) has entered into binding agreement with Stillwater Canada Inc. to become 100 per cent owner of the Marathon Palladium Copper project
- Gen Mining will issue 21,759,332 common shares, at a price of $0.69 per share to Sibanye-Stillwater for its 16.5 per cent interest in the project
- Sibanye-Stillwater will own approximately 19.1 per cent of the outstanding common shares of Gen Mining following the transaction
- Gen Mining’s focus is the development of the Marathon Project, a large undeveloped platinum group metal mineral deposit in Northwestern Ontario
- Generation Mining Limited (GENM) is up 7.25 per cent on the day, trading at C$0.74 per share at 11:15 am EST
Generation Mining (GENM) has entered into binding agreement with Stillwater Canada Inc.
Under the agreement, Gen Mining will acquire Stillwater’s remaining 16.5 per cent interest in the Marathon Palladium Copper project in Northwestern Ontario.
Kerry Knoll, Executive Chairman of Generation Mining sat down with Dave Jackson to discuss the news.
Sibanye-Stillwater currently owns 11,053,795 common shares of Gen Mining, and on closing of the transaction will own 32,813,127 common shares, representing approximately 19.1 per cent of Gen Mining’s outstanding common shares.
Gen Mining will acquire Sibanye-Stillwater’s remaining stake in the Marathon Project by issuing 21,759,332 common shares of Gen Mining, at a price of $0.69 per share, increasing Gen Subco’s interest in the Marathon Project to 100 per cent. Upon completion of the transaction, Stillwater will hold no direct interest in the Marathon Project and the joint venture agreement between Stillwater and Gen Subco will be terminated.
“Sibanye-Stillwater has proven itself to be an exceptional joint venture partner in the Marathon Project. We are happy that one of the world’s largest Platinum Group Metal producers will continue as Generation Mining’s largest shareholder as we advance the Marathon Project through the next phase of development,” said Jamie Levy, Gen Mining President and CEO.
“We have long aspired to own 100% of this incredible project. The Transaction gives us greater flexibility in all aspects of financing and developing the project plus a larger exposure to the potential profits flowing from Marathon.”
Neal Froneman, CEO of Sibanye-Stillwater commented on the transaction.
“We believe that the exchange of our direct participation interest for an increased shareholding in Generation Mining is a positive step in providing Generation Mining with more flexibility at project level while allowing us to retain exposure to the project as it advances to development.”
Gen Mining’s focus is the development of the Marathon Project, a large undeveloped platinum group metal mineral deposit in Northwestern Ontario.
Generation Mining Limited (GENM) is up 7.25 per cent on the day, trading at C$0.74 per share at 11:15 am EST.