Business
Rio2 Expands in Latin America With the Acquisition of the Producing Condestable Mine
Positions Rio2 as a Diversified Latin American Gold Miner with Copper Exposure Concurre...
About this update from Rio2 Limited
[{"type":"text","content":"Rio2 Expands in Latin America With the Acquisition of the Producing Condestable Mine\n\n\n\n\n\n Positions Rio2 as a Diversified Latin American Gold Miner with Copper Exposure\n \n\n\n\n\n Concurrent C$140 Million Bought Deal Equity Financing to Support the Acquisition\n \n\n\n\n\n\n NOT FOR DISTRIBUTION TO UNITED STATES NEWS WIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES\n \n\n\n\n\n VANCOUVER, British Columbia, Dec. 08, 2025 (GLOBE NEWSWIRE) -- Rio2 Limited (“\n \n Rio2\n \n ” or the “\n \n Company\n \n ”) (TSX: RIO; OTCQX: RIOFF; BVL: RIO) today announced that it has entered into a definitive agreement (the “\n \n Agreement\n \n ”) with Southern Peaks Mining L.P. (“\n \n Southern Peaks\n \n ”) to acquire its 99.1% interest in the Condestable mine (“\n \n Condestable Mine\n \n ” or “\n \n Condestable\n \n ”) located in Peru (the “\n \n Transaction\n \n ”). Southern Peaks is a private business that is owned by management and funds advised by Global Natural Resource Investments.\n \n\n On closing, Southern Peaks will receive total upfront consideration of US$180 million, including US$80 million in cash, US$65 million in vendor debt financing and approximately US$35 million in common shares of Rio2 (each a “\n \n Rio2 Common Share\n \n ”). Southern Peaks will also receive total deferred consideration of US$37 million, payable between 2027 and 2030, for total consideration of US$217 million, implying a Transaction enterprise value of approximately US$241 million, including the assumption of approximately US$24 million of net debt (as at September 30, 2025).\n \n\n Alex Black, Executive Chairman of Rio2, commented: “\n \n The acquisition of Condestable marks a major moment in Rio2’s evolution – from gold developer to Latin American diversified producer. With first gold production at Fenix Gold just weeks away, Condestable brings immediate and growing cash flow to support our future growth in gold. Condestable also provides meaningful exposure to copper at a time when copper trades at historic lows relative to gold. Due to the unique transaction structure, there is minimal dilution to our growing gold business. We are particularly thrilled to expand our footprint into Peru – a very fami...