Placer drops price of Val d’Or mines

Citing weak gold markets, Placer Dome (pdg-t) is knocking US$15 million off the price of its projects in Val d’Or, Que. The assets are being sold to McWatters Mining (mcw.a-m).

The price of the Kiena and Sigma gold mines and nearby exploration properties has been reduced to US$55 million from US$70 million. Most of this, US$45 million, will be paid in cash at closing.

The balance will be satisfied by the issuance of McWatters shares at a price equal to the offering price of the equity financing to be undertaken to fund the purchase of the Val d’Or assets.

Placer expects to have completed the transactions by mid-August.