Gobal gold miner AngloGold Ashanti (ASX:AGG) has entered a strategic partnership with emerging gold producer Orinoco Gold Ltd (ASX:OGX).
Under this deal, AngloGold will make a AU$5.9 million cornerstone investment in return for a 15% stake in Orinico.
AngloGold can also earn up to a 70% interest in Orinico’s Faina Goldfields Project in Brazil – through staged exploration expenditure of US$9.5 million over a three-year period.
Another term of this deal is that AngloGold will have the right to negotiate an agreement to earn up to a 50% stake in the Cavascel Gold Mine for a period of nine months.
AngloGold Ashanti posted a net profit of $82.1 million at 30 June 2016.
OGX Price at posting:
7.1¢ Sentiment: None Disclosure: Not Held
