Toronto-listed Argonaut Gold has completed the sale of its Ana Paula project, in Mexico, to Heliostar Metals.
Argonaut sold Ana Paula for $10-million payable in cash upon closing, plus an additional $20-million in deferred cash and share consideration, contingent on meeting certain milestones.
"As we refocus our portfolio, the sale of this noncore property is consistent with our capital allocation strategy of investing in our assets that have the potential to generate the highest returns and drive free cash flow growth," stated president and CEO Richard Young.
The sale of Ana Paula was accomplished through the sale of all issued and outstanding shares of Aurea Mining, a wholly-owned subsidiary of Argonaut, which through Aurea Mining's wholly-owned subsidiary Minera Aurea, holds a 100% indirect interest in and to Ana Paula.