NEW YORK EMC
Metals Corp. has sold its interest in Springer Mining Co. to
Americas Bullion Royalty Corp. (AMB) for $5 million.
The deal includes the
Springer tungsten mine and mill operations, as well as the
Carlin vanadium property and Copper King (tungsten) property,
all of which are in Nevada.
EMC has been looking
to sell its Springer tungsten mine assets or enlist
joint-venture partners to support a restart of operations for
several years, with the Reno, Nev.-based company aiming to pay
off its debt obligations and focus on its scandium assets.
"On completion of the
sale transaction, together with earlier reported transactions
on ranch and water assets associated with Springer, the company
will have eliminated essentially all third-party debt," EMC
said. "The sale will restore EMCs balance sheet,
substantially reducing quarterly cash burn rates, and will
supply cash resources to pursue two 100-percent-owned scandium
projects and other specialty metals opportunities."
The Springer tungsten
mine and mill is on care and maintenance, although it has been
undergoing a $20-million refurbishment and upgrade by EMC over
the past four years.
The Carlin vanadium
property consists of 72 unpatented mineral claims covering
"We are excited to
acquire this excellent package of assets at what we consider to
be the bottom of the mining cycle," AMB chairman and chief
executive officer William M. Sheriff said in a statement. "The
breadth and quality of the assets, including the flexibility of
the processing plant, offer AMB an unparalleled opportunity to
realize the true value of the assets as markets improve and
opportunities develop for the divestiture or joint venture of