He The Farm project It is located in Cajamarca, Querocoto district, and is considered one of the largest undeveloped copper resources in the world, since it has 4,320 million tons with 0.51% copper and has potential for expansion. Therefore, in order to be able to exploit the resource and move on to the next phase of the project, First Quantum Minerals Ltd., a Canadian mining and metals company, has reached an agreement with the Australian business group Rio Tinto.
Thus, First Quantum will have a 55% interest in La Granja for an amount of US$105 million. Following the acquisition, the company will also be responsible for US$546 million of the initial financing.
As recalled, Rio Tinto has been operating La Granja since 2006 and has carried out a drilling program that has expanded the resources. Now, First Quantum will come together and develop a feasibility study to analyze additional potentials in the project.
“La Granja is an exciting but complex project that has the potential to be a major new source of the copper needed for the energy transition,” said Bold Baatar, CEO of Rio Tinto Copper.
“We are pleased to enter into this agreement with First Quantum, who will bring our combined development capabilities and in-depth knowledge of La Granja to advance the project,” he added.
The closing transaction is projected to occur before the end of the third quarter of 2023. This will also depend on ongoing government regulatory approvals.
Source: Larepublica
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