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Agnico-Eagle acquires 9.96% stake in junior Sulliden Gold

12th April 2013

By: Henry Lazenby

Creamer Media Deputy Editor: North America

  

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TORONTO (miningweekly.com) – Canada’s Agnico-Eagle Mines has acquired a 9.96% interest in project developer Sulliden Gold.

The $24-million private-placement transaction that closed on Friday, saw Agnico-Eagle acquiring 26.96-million Sulliden share units, at a price of 89c apiece.

Each unit was made up of one common share and 0.7 of a common share purchase warrant, for a strike price of $1.31, exercisable until April 12, 2015.

Sulliden on Friday said it expected to raise an additional $24.73-million, should all warrants be exercised.

The deal also gave Agnico-Eagle the right to participate in future equity offerings by Sulliden in order to maintain its pro rata investment for a period of two years.

Agnico-Eagle in a statement said it was acquiring the units for investment purposes.

Sulliden is currently focused on the exploration and development of its fully owned gold and silver Shahuindo project, located in a prolific gold-producing district in northern Peru.

Edited by Creamer Media Reporter

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