Teck Resources Limited (TSX: TECK.A and TECK.B, NYSE: TECK) ("Teck") announced this week that it has acquired 12,500,000 common shares of Sun Metals (TSX.V: SUNM) a Vancouver-based mineral exploration company.
The shares were acquired for an aggregate purchase price of $3.5m, and were acquired privately on Dec. 20, 2018 pursuant to a donation arrangement. As a result, Teck holds approximately 13.8% of Sun Metals' outstanding common shares.
Sun Metals has been advancing its flagship Stardust project in northcentral British Columbia. The company reports the region hosts a large geological endowment and supports numerous operating mines.
Last week, Sun Metals announced final results from the 2018 diamond drill program at Stardust, and that the company believes the program was successful in identifying a major mineralized pathway leading toward the heart of a high-grade system.
The intersection in one of the drill holes returned a 100.00 m interval of 2.51% copper, 3.03 g/t gold, and 52.5 g/t silver for a 4.99% Copper Equivalent (CuEq) providing a robust target for further exploration, Sun Metals reported.