Minto Metals Corp.’s court-appointed receiver is actively seeking offers for the assets, undertakings and property, including the Minto mine site, of the now-defunct mining company.
PricewaterhouseCoopers Inc. has posted information about the sale to its website.
The Minto mine site, located about 240 kilometres northwest of Whitehorse, was abandoned by Minto Metals Corp. in May. The company owed more than $70 million to creditors as of Aug. 2, according to a document recently posted on the receiver’s website.
READ MORE: Minto Metals Corp.’s debt racks up to at least $70M
Per the online sales process document, the receiver has been authorized to market any or all of the property.
PricewaterhouseCoopers Inc. intends to make the sale in consultation with the consulting stakeholders as it deems fit.
The document notes the Selkirk First Nation, which owns the land on which most of the property lies, holds a “unique” interest concerning the debtor and is accordingly a “unique” stakeholder. The Yukon government, in its capacity as regulator and overseeing care and maintenance of the mine, may have a financial interest regarding the environmental circumstances of the debtor and is also considered a “unique” stakeholder.
The receiver has a list of 44 known potential bidders.
When it comes to assessing bids, several factors listed in the document will be evaluated: purchase price, any non-cash consideration, structural complexity of the proposed transaction, probability of closing the proposed transaction, planned working relations with and expected benefits that may accrue to the Selkirk First Nation including royalty payment assumptions, whether the proposed transaction leaves any of the property within the receivership and impact on former employees of Minto Metals Corp. and Yukon businesses.
Other factors include the strength of the proposal for bonding requirements as required by the Yukon government and other security required by any other applicable regulator; the bidder’s willingness and ability to obtain and maintain regulatory approval in connection with ownership, development and exploration and operation or care and maintenance of the mine and associated projected capital expenditures, timelines and mining targets; the bidder’s financial strength, technical and environmental expertise and relevant experience; and the historical health, safety and environmental records and record of successful restart of mines out of care and maintenance.
Per the website, offers from qualified bidders will be accepted until Oct. 6.
READ MORE: Minto Metals Corp.’s board resigns; company abandons Yukon mine
Contact Dana Hatherly at dana.hatherly@yukon-news.com
