RNC Minerals and Waterton close JV transaction

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By Ted Liu

RNC Minerals (TSX: RNX; OTCQX: RNKLF) has closed previously announced joint venture transaction with Waterton Precious Metals Fund II Cayman, LP and Waterton Mining Parallel Fund Onshore Master, LP.

Under the terms of the transaction, Waterton has acquired a 50% interest in the Dumont Nickel Project for US $22.5 million or CDN $30 million in cash, implying a value of CDN $60 million for 100% of the asset.

RNC Minerals and Waterton will each inject US $17.5 million (for a total of US $35 million) into a newly established limited partnership that will own and advance Dumont, and seek to acquire high quality nickel assets globally.

RNC Minerals is a multi-asset mineral resource company focused primarily on the acquisition, exploration, evaluation and development of base metal and precious metal properties. RNC’s principal assets are the producing Beta Hunt gold and nickel mine in Western Australia, the Dumont Nickel Project located in the established Abitibi mining camp in Quebec and a 30% stake in the producing Reed Mine in the Flin Flon-Snow Lake region of Manitoba, Canada. RNC also owns a majority interest in the West Raglan and Qiqavik projects in Northern Quebec. RNC has a strong management team and Board with over 100 years of mining experience at Inco and Falconbridge.

Waterton is a leading private equity firm dedicated to developing high quality resource assets in stable jurisdictions. Waterton’s two current active private equity funds, Waterton Precious Metals Fund II and Waterton Parallel Fund closed with capital commitments in excess of US $1.725 billion in 2014 and 2016 respectively.

photo credit: RNC Minerals