TNR Gold Corp (TSX-V:TNR, OTC:TRRXF) has shared a recent update on the Los Azules copper, gold, and silver project in Argentina, which is being managed by McEwen Copper Inc, a subsidiary of McEwen Mining.
TNR Gold holds a 0.4% net smelter returns royalty on the Argentinean copper project.
The company shared that McEwen Copper has seen substantial investments from Stellantis and Nuton, amounting to ARS$42 billion and US$10 million, respectively, leading to a market value of approximately $800 million for McEwen Copper.
McEwen Mining retains 47.7% ownership of McEwen Copper, resulting in a value accretion of $98 million or $2 per share since March 2023.
McEwen Copper plans to advance the feasibility study on the Los Azules project. Currently, they have 14 drill rigs on-site and are scaling up to 18 drill rigs for a drilling campaign targeting over 45,000 meters.
A feasibility study is scheduled for completion by the first quarter of 2025.
Kirill Klip, TNR's CEO, told investors that the company is “pleased” that significant developments on the advancement of the Los Azules project towards feasibility have led to the increased Stellantis holdings in McEwen Copper as a strategic partner.
"TNR Gold's vision is aligned with the leaders of innovation among automakers like Stellantis, whose aim is decarbonizing mobility, and mining industry leaders like Rob McEwen's vision to build a mine for the future, based on regenerative principles that can achieve net zero carbon emissions by 2038.”
Klip noted that Los Azules is making impressive strides toward becoming a top environmental performer and is ranked among the largest undeveloped copper deposits globally.
"The green energy rEVolution relies on the supply of critical metals like copper; delivering ‘green copper’ to Argentina and the world will contribute to the clean energy transition and electrification of transportation and energy industries,” Klip added.
TNR Gold does not have to contribute any capital for the development of Los Azules. The company is working to become one of the leading green energy metals royalty and gold companies.