Canada's Bear Creek prepares IPO in Peru to finance silver mine

Bear Creek Mining

30/05/2018 20:32

LIMA, May 30 (Reuters) - Canadian miner Bear Creek Mining
Corp  BCM.V  will likely make a public offering for its Peruvian
unit on the bourse in Lima to help finance its $550 million
Corani silver project, the company's chief financial officer
said on Wednesday.
    Bear Creek would also consider selling a stake in the Corani
project in southern Peru to help pay for the project, said Paul
Tweddle.
    "Everything's on the table," Tweddle said on the sidelines
of the International Gold & Silver Symposium in Peru.
    "This is the first step before future rounds of financing
for the project," Tweddle said of the upcoming IPO.
    Tweddle estimated Bear Creek would issue its shares on the
bourse within three months and declined to estimate how much it
might raise.
    Corani is expected to produce 11 million to 12 million
ounces of silver once fully operational. If construction begins
in 2018 as scheduled, production would kick off in 2022, Tweddle
said.
    Bear Creek had initially planned to finance Corani with
earnings form its proposed silver project Santa Ana, also in
southern Peru. But a previous presidential administration
revoked Bear Creek's right to build Santa Ana in 2011 after
deadly protests against the proposed mine.
    Late last year, Bear Creek won the right to develop Santa
Ana after suing Peru. The current government of President Martin
Vizcarra must now pay the company $31 million.
    Tweddle said Bear Creek was waiting to talk with the current
government about Santa Ana before taking any next steps on the
project. "Right now Santa Ana is still in our portfolio as a
concession," Tweddle said.

 (Reporting by Mitra Taj and Marco Aquino; Editing by Cynthia
Osterman)
 ((mitra.taj@thomsonreuters.com; +51-1-277-9550; Reuters
Messaging: mitra.taj.thomsonreuters.com@reuters.net))