- Wheaton Precious Metals (NYSE:WPM) agrees to acquire an amount of finished cobalt equal to a fixed percentage of cobalt production from Vale's (VALE) Voisey's Bay mine.
- WPM says it will pay $390M up front upon closing of the cobalt stream plus ongoing payments of 18% of the cobalt spot price per pound delivered.
- WPM will be entitled to production starting in 2021, coincident with the anticipated ramp up in underground production from Voisey's Bay.
- Combined with Vale's separate streaming agreement with Cobalt 27, WPM and Cobalt 27 will provide Vale $690M in funding for the combined purchase of cobalt equal to 75% of Voisey's Bay cobalt production effective Jan. 1, 2021.
- Earlier: Vale reaches $700M deal to sell future cobalt production (June 11)