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Entrée sells Canariaco NSR

Canadian miner Entrée Resources (TSX: ETG) has sold a 0.5% net smelter return royalty it held on Candente Copper's Cañariaco copper project, in northern Peru, to London-listed Anglo Pacific Group (APF) in an all-scrip transaction valued at US$1 million.
Entrée sells Canariaco NSR Entrée sells Canariaco NSR Entrée sells Canariaco NSR Entrée sells Canariaco NSR Entrée sells Canariaco NSR

Henry Lazenby in Vancouver

Entrée registered a 100% gain on its initial investment of US$500 000.

It retains long-term exposure to a potential royalty income stream from the Cañariaco copper project, when and if it is developed, via a sliding-scale arrangement that runs through to the end of 2039.

Entrée's NSR divestment of the subsidiaries that hold the royalty will further reduce its annual cash burn rate, as it moves towards first development production from its Oyu Tolgoi joint venture property in Mongolia.

Entrée has a carried 20% JV interest in part of Oyu Tolgoi, one of the world's largest copper-gold projects. It also has a 30% interest in all mineralisation identified above 560m elevation on the Entrée/Oyu Tolgoi JV property. Sandstorm Gold, Rio Tinto and Turquoise Hill are major shareholders of Entrée, holding about 14%, 9% and 8% of the shares of the company, respectively.