Simmons & Simmons has advised international mining and metals company First Quantum Minerals on an agreement to sell its Spanish subsidiary, Cobre Las Cruces - owner of the Las Cruces mine - to Global Panduro.
The transaction, valued at up to US$190 million, includes US$45 million in cash at closing, a US$65 million loan note (subject to working capital adjustments), and up to $80 million in deferred payments tied to project development milestones, as well as further contingent deferred earn-out payments.
Las Cruces, located near Seville, produced copper cathodes from 2009 to 2021 and completed tailings reprocessing from 2021 to 2023. In 2024 First Quantum published an updated NI 43-101 Technical Report setting out plans for a next‑phase redevelopment of the site through a new underground mine feeding a polymetallic refinery to produce copper, zinc, lead and silver. The agreement with Global Panduro (which is controlled by funds managed by Resource Capital Funds) paves the way for the development of them to develop the next phase of the Las Cruces project.
The deal is subject to customary conditions and regulatory approvals and is expected to close during the first half of 2026.
An experienced, cross-border, multidisciplinary Simmons & Simmons team supported First Quantum Minerals on the transaction - led by Iain Duncan (Sector Head), Isabella Roberts (Partner, Corporate) and Corinne Noel (Of Counsel).
Iain Duncan commented: "We are extremely pleased to have supported First Quantum on this strategically important sale of its Spanish subsidiary. This was quite a complex transaction requiring an experienced, multi-specialist team with the ability to operate across different jurisdictions.
This follows a strong 12 months for our mining lawyers. Over that time we have been advising on projects across over 40 jurisdictions (acting for mining companies, fund investors and lenders). We have also seen continued growth in M&A, strategic joint ventures / earn-ins, alternative finance (streams, royalties and prepays), more traditional lending and improved equity capital markets activity. We expect these trends to continue in 2026."
First Quantum General Counsel David Johnson comments: "Simmons & Simmons provided exceptional legal counsel on this complex divestment. Their team's commercial pragmatism and deep understanding of First Quantum paved the way for a successful transaction and for Cobre Las Cruces to enter its next phase of development with Global Panduro at the helm."
