Canada’s Hudbay Minerals to buy $45 mln interest in Rosemont project

Canadian mining company Hudbay Minerals Inc. has agreed to buy U.S. copper ore and copper products mining company United Copper & Moly LLC’s (UCM) 7.95 percent interest in the Rosemont project, an open pit copper mine project in Arizona.

Additionally, Hudbay agreed to terminate all of United Copper’s remaining earn-in and off-take rights, for upfront cash consideration of $45 million, plus three annual installments of $10 million per year, commencing July 1, 2022.

In connection with the deal, Hudbay will release United Copper from any and all obligations in relation to the Rosemont project, including project credits.

Hudbay said that the acquisition simplifies the ownership structure and improves its financial flexibility for the development of Rosemont.