On April 28, 2020, Yamana Gold Inc. entered into a definitive option agreement pursuant to which it granted Messrs. Eduardo Elsztain and Saúl Zang, a privately-held portfolio management and capital markets company based in Argentina, the right to acquire up to a maximum 40% interest in a joint venture formed to hold the Suyai Project, an advanced stage gold project located in southern Argentina.
Under the terms of the agreement, an initial amount of US$2 million was paid to secure the option. Messrs. Eduardo Elsztain and Saúl Zang will assume responsibility for all environmental, social, and governance matters and will lead the permitting efforts aimed to advance the project through its stages of development. Messrs. Eduardo Elsztain and Saúl Zang have the right to earn a maximum 40% interest in the joint venture by fulfilling certain obligations and milestones, and by paying US$31.6 million in various instalments plus all of their proportionate expenses on or before December 31, 2024. Yamana would hold the remaining 60% of the joint venture through its holding companies.
Yamana was represented by Cathy Mercer of Cassels in Ontario.