Xstrata Offloads Chilean Stake

Xstrata has agreed to sell Barrick Gold its 70% stake in the El Morro copper and gold project in Chile for $465m. The transaction is expected to close by January 30, and will allow Xstrata to direct resources toward “other priority development projects,” it says. Barrick says it plans to pay cash for the asset. New Gold owns the remaining 30% of El Morro, located in the in Chile’s Atacama Region. Xstrata’s copper maintains a presence in Chile through its Lomas Bayas copper mine, Altonorte Metallurgical Complex, 44% interest in the Collahuasi joint venture and the Energia Austral hydroelectric project.