Barrick Gold to sell royalty portfolio to Maverix Metals for $60 million

Barrick Gold (NYSE:GOLD)(TSX:ABX) announced Thursday that it has entered into an agreement to sell a portfolio of royalties to Maverix Metals (TSE: MMX) for total consideration of up to $60 million.

The Portfolio consists of 22 royalties on the production of minerals from mines located in North America, South America, Australia and Africa. The total consideration of $60 million consists of $50 million in cash payable on closing.

The payments include $6 million if the operator of the Eskay Creek project in British Columbia obtains all material permits necessary to commence construction of the mine within six years of closing; $2 million if Maverix receives cash payments from the Portfolio, excluding the Eskay Creek royalty, equal to or greater than $10 million within six years of closing; and a further $2 million if Maverix receives cash payments from the Portfolio, excluding the Eskay Creek royalty, equal to or greater than $20 million within six years of closing.

The transaction is targeted to close at the end of the third quarter of this year, Barrick said.

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