Saudi Arabian Mining Company (Maaden) announced today on Tadawul completing the agreement with Barrick Gold Corporation (Barrick) to form a joint venture for the purpose of establishing a limited liability company.
The new joint venture was established for the purpose of acquiring, developing and operating Jabal Sayid copper project which is located 120 km southeast of Medina.
The acquisition of the assets of the Project was completed today as well by Maaden Barrick Copper Company.
Maaden is investing approximately US$ 216m or SAR 810m to acquire its 50% share in the Project’s assets, rights and existing infrastructures.
The financial impact for this acquisition will appear in Maaden’s fourth quarter statement of financial position. Production is expected to commence late 2015.
According to Argaam; Saudi Arabian Mining Company (Maaden) agreed in July to form a joint venture with Canada’s Barrick Gold Corporation to acquire, develop and operate the Jabal Sayid copper project at Medina.
Production will start late 2015, and the project, when operational, will produce up to 60,000 tonnes of copper annually.
The company put the project’s estimated reserve at around 650,000 tones and expected mine life is around 15 years.
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