Royal Gold Strikes A Deal With Centerra Gold; Reliance Steel Acquires American Alloy Steel; IperionX Looks To Scale Titanium Production Strengthening Through Strategic Deals

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By Ronald Tech



Top Stories for Feb. 14, 2024:


Royal Gold, Inc. RGLD has secured an agreement with Centerra Gold Inc. CGAU to extend the Mount Milligan Mine’s life to 2035. The deal promises Royal Gold $125 million in immediate cash and gold, along with long-term financial interests.


The arrangement, which upholds the original streaming agreement, is set to encourage further investment by Centerra to potentially extend the mine’s operation beyond 2035 through exploration and resource development.


President and CEO of Royal Gold, Bill Heissenbuttel, highlighted, “This announcement demonstrates our willingness to work with our operating counterparties and be flexible and creative in order to find mutually beneficial opportunities to maximize value…. Mount Milligan is a large and potentially long-life operation, and our support is designed to allow Centerra to extend the mine life and add long-term value for each company’s stakeholders.”


Reliance Steel & Aluminum Co. RS has entered into an agreement to acquire all outstanding equity interests and real estate assets of American Alloy Steel, Inc. This acquisition is expected to bolster Reliance’s value-added processing capabilities.


American Alloy operates five service centers in the U.S., a plate fabrication business, and a joint venture in Canada. Its annual net sales were approximately $310 million in 2023.


President and Chief Executive Officer of Reliance, Karla Lewis, expressed, “American Alloy adds specialty carbon steel plate to Reliance’s product portfolio as well as new fabrication capabilities. We look forward to continuing to grow the American Alloy business, especially in value-added processing, and leveraging our collaboration efforts to expand the product and service offerings of both American Alloy and our existing Reliance companies.”

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IperionX Limited IPX is on track to scale its titanium metal production for commercial purposes.


With its HAMR titanium furnace set for U.S. installation in early 2024 and production slated to commence by mid-year, IperionX has made significant strides in its titanium production capabilities.


The company’s Titanium Manufacturing Campus in Virginia is also making progress, bolstered by a $2.4 million payment from a $12.7 million Department of Defense grant, marking a major leap forward in its commercial-scale titanium manufacturing.


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