Deals
Goldcorp, Teck to Merge Chilean Copper Projects to Cut Costs
- Combining development may reduce expenditures by billions
- New Gold agrees to sell its 30% stake in El Morro to Goldcorp
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Canadian miners Goldcorp Inc. and Teck Resources Ltd. agreed to combine their El Morro and Relincho copper-and-gold projects in Chile to reduce costs amid falling metals prices. The shares rose in Toronto.
The Vancouver-based mining companies will contribute their projects, which are located about 40 kilometers (25 miles) apart, into a 50/50 joint venture, Goldcorp and Teck said Thursday in a statement. The combination, with the interim name Project Corridor, may reduce development costs by billions of dollars compared with the standalone plans, partly by reducing the duplication of infrastructure, the companies said.