Lundin closes $400 million financing to complete Ecuador gold project

ArticleMining sectorMarch 27, 2018 - 6:37:32 AM

Canada’s Lundin Gold (TSX:LUG) has closed a $400-million financing that will help it complete the construction of its flagship Fruta del Norte gold project in Ecuador, expected to begin production in late 2019.

The Vancouver-based company, which last month secured a $250-million investment from Newcrest Mining, which is part of the total announced today, said the Australian miner now owned 27.1% of Lundin’s outstanding shares. Zebra Holdings and Investments S.à.r.l. and Lorito Holdings S.à.r.l. (the Lundin Family Trusts) collectively own 22.3%; and Orion holds an 11.4% stake, Lundin said.

“This investment significantly reduces risks around the funding of the project and represents a strong endorsement for Fruta del Norte and our management team,” the company’s President and CEO, Ron Hochstein, said in the statement...

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