Bird & Bird has advised Northland Resources S.A. (listed on the Toronto and Oslo Exchanges) in connection with the sale of the company’s non-ferrous projects in Sweden, including the Barsele Gold Project, to TSX Venture Exchange listed Orex Minerals Inc, a silver and gold exploration company with projects in Mexico.
The total consideration is valued at a minimum of USD 15.5 million, and includes both upfront payments in cash and shares and deferred cash and share payments as well as guaranteed investments.
Bird & Bird assists Northland Resources in the development and financing of its portfolio of iron projects in Northern Sweden and Finland, under the general management of Stockholm based partner Jim Runsten. The divestment to Orex Minerals Inc was handled by a team lead by corporate partner Hans Svensson, and including associates Caroline Carlshamre and Helena Dahlin from the Stockholm office.
Completion of the transaction is subject to approval from the TSX Venture Exchange in Canada.
Eva Kaijser, CFO of Northland Resources comments: “We choose Bird & Bird as our legal advisor mainly because of their deep mining sector knowledge and their International reach and in this transaction we have benefitted from both of these capabilities.”
Northland is a development stage mining company with a portfolio of iron projects in Northern Sweden and Finland. Northland’s Kaunisvaara Project contemplates the staged development of magnetite iron ore deposits that would provide feed to a single, multi-line processing facility in Sweden, producing a high-grade, high-quality magnetite iron concentrate. The results of the Feasibility Study on the Kaunisvaara Project were released September 27, 2010.