TORONTO--(BUSINESS WIRE)--Waterton Global Resource Management, Inc., (“Waterton Global”) is pleased to announce the successful completion of the purchase of the Hollister gold mine and Esmeralda Mill in Nevada.
As previously announced, the assets were purchased through a court-supervised auction of assets formerly controlled and operated by certain subsidiaries of Great Basin Gold Limited.
The purchase price for the assets, consisted of initial cash consideration of up to $15mm, plus a 15% net profits royalty agreement that can be terminated after 5 years.
“The purchase of mining assets in a bankruptcy auction is incredibly complex. Our project evaluation and investment teams were instrumental in our ability to expediently evaluate these assets and to structure a winning bid,” said Managing Partner and Chief Investment Officer, Isser Elishis.
“Participating in this type of process requires the ability to confidently assess the potential for operational success. Our deep in-house technical expertise made it possible for us to accomplish this in a competitive auction environment,” continued Mr. Elishis.
Waterton’s project evaluations team has identified and evaluated over 350 projects worldwide, ranging from $10mm million to $3.6 billion. Based on the project evaluations team’s assessment, and drawing on several decades of experience in mining, Waterton’s development and operations group is expected to concentrate on three key areas:
- Optimizing the management of the mine, including dedicating additional on-site senior personnel to oversee operations;
- Bringing financial discipline to the operations and capital planning process; and,
- Updating the mine plan to increase efficiencies and to ensure the financial sustainability of the Hollister mining operation.
About the Hollister Gold Mine
Once considered to be one of the highest grade gold deposits in the world, the Hollister gold mine is located in northern Nevada, at the intersection of the Carlin Trend and the Northern Nevada Rift. The Carlin trend is one of the world’s richest gold mining districts and the most prolific gold mining region in North America.
The Hollister gold mine has been in production since 2008. The mine has had a historic production rate of 350-400 ore tones per day, producing an average of 80,000 oz of gold per year.
Waterton Global Resource Management invests in producing and late-stage development assets in politically stable geographies, through joint ventures, partnerships and acquisitions. Waterton Global has assembled a multi-disciplinary technical team with extensive expertise evaluating, developing and operating precious metals mining projects throughout the world.