Liberty Gold has announced it has signed a share purchase agreement for the sale of its interest in the Halilağa copper gold porphyry deposit located in Biga Province, northwest Turkey, to Cengiz Holdings.

Liberty Gold and its joint venture partner, Teck Madencilik Sanayi Ticaret – a subsidiary of Teck Resources Limited – have agreed to jointly sell their 100 per cent interest in the company that holds the Project to Cengiz for US$55 million cash, to be paid in three stages over a two-year period. The consideration will be apportioned 60 per cent to Teck and 40 per cent to Liberty Gold, pro-rata to their ownership interests.

As a result of the Transaction, Liberty Gold will receive a total of US$22 million.

Cengiz is active in the fields of construction, energy, mining, metallurgy and the chemicals/fertiliser industries. It began its first activities in the late 1970s in construction and is now one of Turkey’s leading groups with more than 12 main companies, 96,000 employees and an annual turnover of US$6 billion.

Within Cengiz’s mining and metallurgy operations, Cengiz’s subsidiaries Eti Bakir A.Ș. and Eti Aluminyum A.Ș. own and operate copper, aluminium, antimony, phosphate and coal mines throughout Turkey and the Samsun Cathode Copper Smelter facility, Seydisehir Aluminium Electrolysis facility and Mazidagi Fertilizer and Metal recovery plants.