US Steel Addresses Misinformation; PZG's Grassy Mountain Bond Agreement; Metals Acquisition Warrant Redemption And More: Tuesday's Top Mining Stories

Top Stories for May 21, 2024:

1. U.S. Steel’s X Board of Directors addressed misinformation about the pending all-cash deal with Nippon Steel expected to close in the second half of the year. 

They emphasized the transaction’s benefits, including investor value, job security, community support and national security that have been endorsed by third parties. 

They criticized competitor and unsuccessful bidder Cleveland-Cliffs CLF for spreading false information to derail the deal. 

The Board chose Nippon's offer over Cleveland-Cliffs due to superior value and lower antitrust risks. 

The board believes the deal ensures U.S. Steel’s growth, competition and innovation, and has broad support from its stakeholders.

2. Paramount Gold Nevada PZG announced that its Grassy Mountain gold mine will benefit from a joint reclamation bond between the Oregon Department of Geology and Mineral Industries (DOGAMI) and the Bureau of Land Management (BLM). 

This agreement was established through a memorandum of understanding and reduces capital requirements and administrative burdens by requiring only one reclamation bond. 

Paramount’s President Glen Van Treek praised the cooperation between DOGAMI and BLM, noting the benefits for the mine’s development and operation. 

The memorandum of understanding ensures coordinated guidance and monitoring of mining operations on both federal and private lands.

Also Read: Nickel Crisis Fuels Unrest In New Caledonia, Pushes Prices Above $20,000 Per Ton

3. Metals Acquisition MTAL announced the “Redemption Fair Market Value” for its public and private placement warrants to purchase ordinary shares. 

The company will redeem all outstanding warrants on June 5, 2024, for 10 cents each. 

Warrant holders can exercise their warrants for cash or on a cashless basis by that date. 

The “Redemption Fair Market Value” is $13.33, granting 0.3063 ordinary shares per warrant for cashless exercises. Notices have been sent to registered warrant holders.

4. Alcoa AA amended its acquisition agreement with Alumina Limited, ensuring shareholders receive 0.02854 New CHESS Depositary Interests (CDIs) per Alumina Limited share, tradable on the Australian Securities Exchange. 

To comply with U.S. regulations, CITIC Group will receive approximately 1.5% of its consideration as non-voting preferred stock instead of CDIs. 

The transaction is expected to complete in the third quarter of 2024.

Now Read: Solitario Resources Finds New Gold Zones In South Dakota: ‘Highest-Grade Samples Collected’

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