BRISBANE, Australia – Orocobre Ltd. (TSX:ORL) says it has purchased Argentine boron minerals and refined chemicals producer, Borax Argentina S.A., from Anglo-Australian mining giant Rio Tinto PLC entities and Borax Europe Ltd.
The purchase price is US$8.5 million of which $5.5 million has been paid with $1 million to be paid annually over the coming three years.
Get weekly money news
The consideration comprises $3.7 million for all issued shares of Borax Argentina and $4.8 million paid to Borax Europe Ltd, a Rio Tinto company as consideration for the assignment of a loan made by it to Borax Argentina.
The acquired business has annual revenue of approximately US$23 million and annual production of approximately 35,000 tonnes of boron based products and mineral concentrates.
- Calgary Chamber says trade negotiations ‘a tipping point’ in relationship with U.S.
- ‘Not suitable’: Utilities commission rejects power plant for Olds, Alta., data centre
- Curaleaf looks to buy Aurora Cannabis, takes bid directly to shareholders
- Mortgage renewals mean housing takes up 50% of many Canadians’ budgets
Borax Argentina has been in operation for over 50 years, and operates three open pit mines in the South American country along with concentration plants and refinery facilities.
Orocobre Ltd. says although Borax Argentina is only a relatively small and marginally profitable producer, it is asset rich in terms of mines, plant and human resources.
Comments
Want to discuss? Please read our Commenting Policy first.