Versamet Royalties Buys $360 Million Gold Stream on Eskay Creek Mine

Versamet Royalties Corp. ( (TSE:VMET) ) has provided an update.

Versamet Royalties has agreed to acquire a 3.52% life-of-mine gold stream on Skeena Resources’ Eskay Creek gold-silver project in British Columbia from funds managed by Orion Resource Partners and Blackstone affiliates. The $360 million deal, paid mostly in cash with a portion in shares, gives Versamet uncapped exposure to one of Canada’s most advanced high-grade, low-cost open-pit precious metals projects, backed by security over the Eskay Creek assets.

Eskay Creek is expected to produce over 300,000 ounces of gold annually in its first five years, with construction nearly half complete and first output targeted for 2027. Versamet expects the stream to add more than 10,000 gold ounces per year to its attributable production in those early years, supporting a material scale-up to over 30,000 gold equivalent ounces annually and increasing its Canadian and gold-weighted portfolio, which could underpin a valuation re-rating if the project delivers as planned.

The most recent analyst rating on (TSE:VMET) stock is a Buy with a C$18.00 price target. To see the full list of analyst forecasts on Versamet Royalties Corp. stock, see the TSE:VMET Stock Forecast page.

More about Versamet Royalties Corp.

Versamet Royalties Corporation is a precious metals royalty and streaming company listed on Nasdaq and the TSX, focused on acquiring interests in high-quality gold and silver projects. The company targets large, long-life, low-cost mines in premier jurisdictions, with a growing concentration of assets in Canada’s Golden Triangle and other major gold camps.

Average Trading Volume: 115,306

Technical Sentiment Signal: Strong Buy

Current Market Cap: C$672.6M

For an in-depth examination of VMET stock, go to TipRanks’ Overview page.