First Cobalt announces that it will acquire the company US Cobalt, further enhancing First Cobalt’s...
Sandstorm Gold to purchase Acacia’s Burkina Faso assets
Acacia Mining Plc will sell its 2 percent royalty over the Houndé Mine in Burkina Faso for $45 million to Canadian Sandstorm Gold Ltd, according to Reuters.
The deal is expected to close early in the first quarter of 2018.
According to mining.com, Acacia has been hit by changes in mining laws that have dented the investment appeal of companies operating in countries such as South Africa and Tanzania, where nations feel they are not reaping the benefits of their minerals. Barick Gold, the majority owner of Acaica, will have to make a $300 million payment to the Tanzanian country.
The sale will help bolster the company's balance sheet as the concentrate export ban in Tanzania enters its second year, according to analysts.