Wyloo Metals, a subsidiary of Australian private investment group Tattarang, has made its second investment in Canada. The company announced on Monday that it would become a cornerstone investor in Noront Resources – a company focusing on the Ring of Fire region in northern Ontario.
Wyloo would buy all the beneficial interests in Noront controlled by Resource Capital Fund and its affiliates. Under the transaction, the Australian firm would acquire 94 553 126 Noront common shares and warrants to acquire 1 774 664 Noront common shares, a $15-million convertible loan maturing September 30, 2021, and 1% net smelter return royalty over the Eagle’s Nest deposit.
Eagle’s Nest is the largest high-grade nickel discovery in Canada since Voisey’s Bay and is anticipated to have an initial mine life of 11 years, with the potential for an additional nine years. This excludes the development of the adjacent chromite resources, which presents a further development opportunity.