Gemstone mining company Fura Gems Inc. completed its acquisition of 76% of the issued and outstanding shares of Esmeracol S.A., which owns a 100% interest in Coscuez mining licence no. 122 – 95M.
Dev Shetty, president & CEO of Fura, said: “Fura has achieved one more important milestone by adding the iconic Colombian emerald mine, Coscuez, to its portfolio. With this acquisition, Fura now has two important silos in its portfolio, Colombian emeralds and Mozambican rubies. Fura will now work towards modernisation of the Coscuez emerald mine and deployment of the best health and safety standards for its employees while keeping the environmental impact minimal.
“Fura will also closely work with the local community and relevant authorities to promote the socio-economic development in the region. We would like to thank our local partner and also the entire team on the ground in Colombia for their dedication and hard work.”
The Coscuez Licence covers an area of 46 hectares and includes exclusive rights for the exploration, construction and mining of emerald deposits granted by the Colombian government within the area historically known as the Coscuez Mine in the municipality of San Pablo de Borbur, Department of Boyacá.
The population of San Pablo de Borbur municipality is 9,189 people, with 28.69% of the population resident in the village (vereda) of Coscuez. The municipality is predominantly rural with a local economy currently based on the twin activities of mining and farming. Fura will continue mining activities on the Coscuez License with the view to improve and optimise mining operations.
Fura has agreed to pay $2 million on the 12-month anniversary of the closing; $2.5 million on the 24-month anniversary; and, $3 million on the 36-month anniversary.
In addition, Fura will assume certain expenses of Esmeracol not exceeding $5 million. If Esmeracol earns a net profit of $17 million or more in a fiscal year, then Fura will pay to Emporium an additional one-off bonus of $3 million.