The sale of Black Fox Mine is now finalized.
Primero Mining has sold the mine to McEwen Mining for $27.5-million US, plus the expected release of $5-million from restricted cash pledged towards environmental closure liabilities. Primero says the sale proceeds will be used to reduce the outstanding balance on the company’s revolving credit facility.
The sale consists of the Black Fox underground mine, stock mill, workforce and nearby Grey Fox and Froome development projects.
McEwen says taking over this mine will help the company increase its 2018 production forecast by 20 per cent.