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Primero to sell Black Fox gold mine to McEwen Mining for US$35M

Primero Mining Corp. plans to sell its interest in the Black Fox mine and associated assets located near Timmins, Ontario, to McEwen Mining Inc.

The company will receive US$35 million in cash, subject to certain closing adjustments, and will use the proceeds to reduce its total debt position.

"The proposed transaction for the divestiture of Black Fox is consistent with our previously disclosed strategic review process to maximize value for shareholders," President and CEO Joseph Conway said.

The companies expect to sign a definitive agreement before the end of this month. The transaction is set to close in the third quarter.