On July 6, 2021 McEwen Mining announced the creation of the wholly-owned subsidiary, McEwen Copper Inc., which holds 100% interests in the Los Azules project in Argentina and in the Elder Creek exploration property in Nevada. Both assets are subject to a 1.25% net smelter return (NSR) royalty payable to McEwen Mining.
McEwen Copper started with 17,500,000 common shares outstanding held by McEwen Mining. A two-tranche private placement financing has also been initiated, of up to 8,000,000 common shares of McEwen Copper, at US$10 per common share, for gross proceeds of up to US$80 million.
The first $40 million tranche of the placement was closed in August with Rob McEwen, and the balance of the financing is expected to close in 2022.