Taseko in talks regarding potential deal to up stake in Gibraltar copper mine

Taseko Mines image

VANCOUVER — Taseko Mines Ltd. says it is in talks regarding a potential deal to increase its stake in its Gibraltar copper mine in B.C.

The company says it has been in confidential discussions with Sojitz Corp. regarding the potential purchase of its 12.5 per cent effective interest in the mine.

Taseko owns 75 per cent cent of the joint venture that operates Gibraltar, while Cariboo Copper Corp. owns the other 25 per cent. Sojitz Corp. owns a 50 per cent stake in Cariboo.

The company says the potential deal contemplates a modest upfront payment upon closing and additional annual payments over a five-year period. 

The annual payments would include a guaranteed minimum payment and additional contingent payments dependent on Gibraltar copper revenues.

The company cautioned that a binding agreement has not been signed and that there could be no assurance that a deal would be reached.

This report by The Canadian Press was first published Feb. 3, 2023.

Companies in this story: (TSX:TKO)

The Canadian Press