Maxim Power Sells Summit Coal Assets to Valory Resources

Maxim Power ( (TSE:MXG) ) has shared an update.

Maxim Power Corp. has received a notice from Valory Resources Inc. to exercise its option to purchase Maxim’s subsidiaries, Summit Coal Limited Partnership and Summit Coal Inc., for $14.2 million. The sale will provide Maxim with net cash proceeds of $8.0 million, which will be used for general corporate purposes. Additionally, Maxim will receive a 3% royalty on coal produced from Summit’s leases, and there will be a ground lease for a coal processing facility at the H.R. Milner site.

More about Maxim Power

Maxim Power Corp. is involved in the energy sector with a focus on power generation. The company operates in the coal industry through its subsidiaries and assets, including coal leases with significant metallurgical coal reserves.

YTD Price Performance: 0.69%

Average Trading Volume: 17,804

Technical Sentiment Consensus Rating: Sell

Current Market Cap: C$381.5M

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