"Management believes that splitting the company's assets will help illuminate the strategic regional concessions and partnerships that have been put in place over the last two years and support our medium-term goal of monetising our most advanced assets at the appropriate time," president and CEO Marshall Koval said.

There will be no change to shareholders' existing interests in Lumina. They will receive one ‘new' share for each Lumina share held, in addition to 0.15 of a Luminex share under a plan of arrangement. The plan is pending British Columbia court approval and shareholders will vote on the iniiative during a meeting scheduled for August 21.

Lumina will apply to list Luminex on the TSXV exchange.

The spin-out transaction will allow Luminex to raise the funding necessary to advance Cangrejos without diluting shareholders' interests in the exploration assets in its portfolio, and vice versa. The transaction should also exploit shareholder value by allowing the market to ascribe value to the Condor project and the early stage concessions that make up the First Quantum Minerals and Anglo American earn-in agreements independently of the Cangrejos project.

Luminex will be run by Lumina's current leadership team. Its board will comprise three directors who currently sit on the Lumina board, as well as two new independent directors.