Pan American Silver sells stake in Chile’s Aguas de la Falda project

Rio Tinto is now the majority shareholder in the project, while the minority shareholder, with a 42.26% stake, is Chilean state-owned mining company Codelco.

The deal also included the sale of mining concessions adjacent to Agua de la Falda, along with the establishment of mining royalties.

The transaction involved several complexities, particularly in the structuring and negotiation of the corresponding share purchase agreement, mining royalty contracts, and mining concession sale contracts, according to Chilean law firm Guerrero Olivos, which advised Pan American Silver on the deal.

The deal also included negotiations with Codelco.

Guerrero Olivos’ team was led by partner Pedro Lyon, with partners Benjamín Pérez and Alejandro Chechilnitzky, and senior associate Valentina Mora and associates Sebastián Mozó, Antonia Melelli and Javiera Cid.