TNR Gold executive chairman Kirill Klip recently discussed the notable $70 million financing round for the Los Azules copper project in Argentina. The project, in which TNR holds a 0.4% net smelter returns royalty, has seen significant investment from key players including McEwen Copper, with Rob McEwen himself contributing $5 million and McEwen Mining adding another $14 million. These investments follow substantial previous contributions from Rob McEwen, Rio Tinto, and Stellantis.
Klip emphasized the project's progress towards a bankable feasibility study, expected to be completed in the first quarter of next year. He noted that recent political changes in Argentina, which introduce pro-reform measures, are likely to benefit the project by reducing bureaucratic hurdles and providing tax incentives.
Furthermore, Klip mentioned an update from Fundamental Research Corporation that reiterated a buy rating for TNR Gold and increased its target price. This positive outlook is based on the ongoing developments in the Los Azules project and the improved business climate in Argentina.
Klip also highlighted the potential valuations for TNR Gold's net smelter returns royalty from Los Azules. By comparing it to similar deals in the industry, he underscored the project's potential to generate significant royalty revenue.
This financing round and the anticipated feasibility study mark critical milestones for the Los Azules project, reflecting strong investor confidence and promising future returns. The favorable political environment in Argentina further reinforces the project's viability, making it a key area of interest for stakeholders in the mining industry.
