Coeur d'Alene Mines is to sell its interest in two mines, one in Australia, and one in Chile. The company has entered into a letter of intent with private company XDM to sell its stake in the silver production and reserves from the Endeavor mine in the former, and the royalty from the Cerro Bayo gold and silver mine in the latter.
Coeur stands to make up to $67 million from the transaction. The letter pledges that XDM is to pay $45 million in cash, and $10 million in common equity, to Coeur. Additionally, Coeur will be eligible for two cash payments amounting to $12 million if certain milestones regarding reserve increases and mine development are met.
The article Coeur d'Alene to Sell Stakes in Foreign Mines originally appeared on Fool.com.Fool contributor Eric Volkman has no position in Coeur d'Alene Mines. The Motley Fool has no position in Coeur d'Alene Mines. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.