THE BOURSE WHISPERER: Consolidated Zinc (ASX: CZL) announced the completion of the acquisition of a 100 per cent interest in the subsidiary that holds the Plomosas Mine in Chihuahua State, Mexico.
Consolidated Zinc had previously announced, in September, an agreement with Retec Guaru S.A. de C.V, under which Consolidated Zinc would acquire the remaining 10 per cent interest in its already 90 per cent-owned subsidiary, Minera Latin American Zinc S.A.P.I de C.V. that holds the Plomosas Mine.
The purchase consideration for the acquisition of the Retec interest in MLAZ is a 1 per cent Net Smelter Return Royalty from the sale of minerals produced from Plomosas.
“The company is very pleased to have finalised the acquisition of a 100 per cent interest in Plomosas,” Consolidated Zinc managing director Brad Marwood said in the company’s announcement to the Australian Securities Exchange.
“Consolidated Zinc held 51 per cent equity only nine months ago, and through a series of acquisitions increased its interest to 90 per cent and now 100 per cent in a simplified corporate structure to add shareholder value.
“I would like to thank Retec, our partner in Plomosas, for working with the company throughout this process, and who also remains a committed long-term shareholder of Consolidated Zinc.”