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Star Royalties Highlights Proposed Acquisition of Sabre Gold by Minera Alamos
TORONTO, ON / ACCESSWIRE / October 28, 2024 / Star Royalties Ltd. (" Star Royalties ", or the ...
About this update from Star Royalties Ltd
[{"type":"text","content":"Star Royalties Highlights Proposed Acquisition of Sabre Gold by Minera AlamosTORONTO, ON / ACCESSWIRE / October 28, 2024 / Star Royalties Ltd. (\"Star Royalties\", or the \"Company\") (TSXV:STRR)(OTCQX:STRFF) is pleased to highlight an announcement by Sabre Gold Mines Corp. (\"Sabre Gold\") (TSX: SGLD, OTCQB: SGLDF), dated October 28, 2024, regarding its entering into of a definitive agreement for the purposes of being acquired by Minera Alamos Inc. (\"Minera Alamos\") (TSXV: MAI, OTCQX: MAIFF) pursuant to a plan of arrangement (the \"Transaction\"). Following closing of the Transaction, currently anticipated in January 2025, the Company's existing gold streaming agreement on the Copperstone Gold Mine (\"Copperstone\") will remain a flat 4% of gold produced for the duration of Copperstone's life-of-mine (\"LOM\"). Under the terms of the streaming agreement, Star Royalties will provide a cash payment to Minera Alamos equal to 25% of the spot gold price for each ounce of gold delivered. Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.Transaction HighlightsCopperstone to be owned by proven mine builders and operators: Minera Alamos' established track record of permitting, building, and operating gold mines will be a key driver to returning Copperstone to production. Its management team has placed four cost-effective mines into production, while its current portfolio has projects in permitting, development, and production stages in similar geographies to Copperstone.Accelerated timeline to production: Copperstone is expected to become a priority development project for Minera Alamos. Minera Alamos has indicated its intent to accelerate Copperstone into production by already initiating engineering efforts aimed at fast-tracking Copperstone's development, engaging with lenders regarding finance facilities, as well as expanding its technical team. Copperstone's permits are in place for the restart of mining operations and Minera Alamos anticipates a 12-month construction schedule from a construction decision.Potential for reductions in development costs: Minera Alamos has a track record of developing mines into production at, or below, budget. Furthermore, Minera Alamos expects to be ab...