Newmont Mining (NYSE: NEM) has acquired NovaGold Resources’ (TSX: NG; NYSE-AM: NG) 50% stake in the Galore Creek copper-gold project in B.C. for staged payments of up to US$275 million.
Teck Resources (TSX: TECK.B; NYSE: TECK) owns the other 50% stake in the project, which is one of the largest undeveloped copper-gold-silver deposits in the world.
Galore Creek, 150 km northwest of Stewart, B.C., is on care and maintenance.
A 2011 prefeasibility study on the large-tonnage project forecasted production over 18 years of 6.2 billion lb. copper, 4 million oz. gold and 65.8 million oz. silver.
Teck and Newmont have each agreed to spend US$10 million to US$15 million annually to update the prefeasibility study over the next four years.
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