Aurion Resources (TSX-V:AU) told investors it has completed the repurchase of the 3% net smelter return royalty on its Kutuvuoma and Silasselkä properties in Finland from Dragon Mining (ASX:DRA) Ltd.
Under the transaction, which eliminates all remaining encumbrances on the properties, Aurion said it paid Dragon €5 million, including €4 million in cash, of which B2Gold Corp contributed €3.5 million.
In addition, a total of 2,415,410 shares worth €1 million have been issued to Dragon’s Finnish subsidiary Dragon Mining (ASX:DRA) Oy. The share payment was calculated based on the 10-day volume-weighted average price of C$0.61/share and a Euro/Canadian dollar exchange rate of 1.4734 as of the date that Aurion provided notice to Dragon.
"Following the closure of the royalty repurchase, Aurion's core properties are royalty-free except the statutory payments (a total of 0.75%) as defined in the Finnish Mining Act," commented Aurion CEO Matti Talikka.
"Aurion considers the transaction to be beneficial for all parties involved and wishes to acknowledge both Dragon Mining Ltd and B2Gold Corp for the successful completion."
Aurion Resources (TSX-V:AU) is a Canadian exploration company whose strategy is to generate or acquire early-stage precious metals exploration opportunities and advance them through direct exploration by our experienced team or by business partnerships and joint venture arrangements.
Contact the author at stephen.gunnion@proactiveinvestors.com