Silver Wheaton invests $20.7M in Ventana for rights to future silver production

Silver Wheaton (SLW-T, SLW-N) has agreed to buy $20.7 million worth of Ventana Gold (VEN-T) shares in a private placement that will also give the silver streaming company the right of first refusal to silver from Ventana’s La Bodega project in Colombia.

Silver Wheaton will acquire 1.8 million units for a price of $11.50 per unit with each unit consisting of one share and half of a warrant. For each warrant, Silver Wheaton can buy one a share at price of $15 for a period of one year from the closing date of the deal.

Silver Wheaton will be entitled to any silver streams related to all of Ventana’s Colombian properties — about 45.9 sq. km in the California-Vetas mining district about 400 km northeast of Bogata.

Ventana has drilled more than 220 holes at the La Bodega project totaling about 70,000 metres, and has nine rigs drilling on the property.

Ventana has also recently signed an agreement to acquire the La Baja project, located immediately to the southwest of La Bodega.

Silver Wheaton is forecasting 2010 production, based on its current silver streaming agreements, to be 22.2 million oz. silver and 20,000 oz. gold.

By 2013, Silver Wheaton expects production to grow to 38 million oz. silver and 59,000 oz. gold.