On
- MMC is Mongolia’s largest internationally traded mining company, listed on the main board of the
Hong Kong Stock Exchange (HKEx: 975). - MMC to invest
US$40 million for a 50% equity interest in Erdene’s Mongolian subsidiary,Erdene Mongol LLC (“EM”), holding the Khundii andAltan Nar mining licenses and the Ulaan exploration license through a three-stage transaction, based on achievement of milestones. - Erdene retains a 50% equity interest in EM and a 5.0% Net Smelter Return (“NSR”) royalty on all production from the Khundii,
Altan Nar and Ulaan licenses, as well as any properties acquired within 5 kilometres of these licenses, beyond the first 400,000 ounces gold recovered. - The first two stages of the transaction were completed in
January 2023 andMay 2023 , with MMC investingUS$10 million to finance technical studies, including the FS, early construction works and exploration for the Project. - The third stage of the transaction will see MMC invest a further
US$30 million , providing equity capital for the Bayan Khundii Gold Project. - Erdene maintains a 100% interest in its large Zuun Mod Molybdenum-Copper deposit and Khuvyn Khar Copper project, located approximately 30 kilometres east of Bayan Khundii, and adjacent to a planned railway development.
On
Concurrently, international financial institutions are conducting due diligence on the updated FS and are expected to provide the Project’s debt financing. These institutions are active in
About Erdene
Forward-Looking Statements
Certain information regarding Erdene contained herein may constitute forward-looking statements within the meaning of applicable securities laws. Forward-looking statements may include estimates, plans, expectations, opinions, forecasts, projections, guidance or other statements that are not statements of fact. Although Erdene believes that the expectations reflected in such forward-looking statements are reasonable, it can give no assurance that such expectations will prove to have been correct. Erdene cautions that actual performance will be affected by a number of factors, most of which are beyond its control, and that future events and results may vary substantially from what Erdene currently foresees. Factors that could cause actual results to differ materially from those in forward-looking statements include the ability to obtain required third party approvals, market prices, exploitation and exploration results, continued availability of capital and financing and general economic, market or business conditions. The forward-looking statements are expressly qualified in their entirety by this cautionary statement. The information contained herein is stated as of the current date and is subject to change after that date. The Company does not assume the obligation to revise or update these forward-looking statements, except as may be required under applicable securities laws.
NO REGULATORY AUTHORITY HAS APPROVED OR DISAPPROVED THE CONTENTS OF THIS RELEASE
Erdene Contact Information
Phone: | (902) 423-6419 | |
Email: | info@erdene.com | |
Twitter: | https://twitter.com/ErdeneRes | |
Facebook: | https://www.facebook.com/ErdeneResource | |
LinkedIn: | https://www.linkedin.com/company/erdene-resource-development-corp-/ | |
YouTube: | https://www.youtube.com/channel/UCILs5s9j3SLmya9vo2-KXoA |
Source:
2023 GlobeNewswire, Inc., source