Miner in Talks to Sell Peru Pit

Vancouver-based junior miner Gold Hawk Resources says it has entered into a non-binding agreement with an unnamed buyer to sell an 85% interest in its Coricancha gold mine, according to president and CEO Kevin Drover. As part of the deal, Gold Hawk would receive $15m in cash. The buyer would also assume the company’s $13m in debt and would loan up to $20m to fund capex. Exclusive negotiations will end in 60 days. Drover tells LatinFinance that the company needs to raise cash and that it has been struggling to survive. The mine’s tailings facilities, he explains, were at risk of a landslide due to the saturation of the Tamboraque hillside and the company has been working to correct this. Drover does not disclose the names of financial advisors.