German investment firm ups holding in Skeena Resources

Shares of Skeena rose to a 52-week high during Tuesday's session.

German investment firm Deutsche Balaton (DB) announced on Tuesday it has slightly upped its equity stake in Skeena Resources (TSX: SKE) by acquiring 10,500 shares at an average price of C$7.049143 per share.

The shares acquired represent 0.1% of Skeena’s outstanding shares. Prior to the transaction, DB held approximately 10.9 million of 10.25% of the Canadian miner’s share capital.

Shares of Skeena Resources had risen to a 52-week high of C$7.67 late in the afternoon. By market close, it traded 4.2% higher at C$7.65 apiece, for a market capitalization of C$694.6 million.

The news follows Skeena’s announcement last week of a $750 million financing package for the Eskay Creek mine project in British Columbia’s Golden Triangle. This funding, the company said, gives it the financial flexibility to reboot what was once the highest-grade gold mine in the world.

Its restart date has been targeted for 2027, with anticipated annual production of 320,000 oz. gold over a 12-year life. According to a definitive feasibility study, the open pit mine has an after-tax net present value (at 5% discount) of C$2 billion and an after-tax internal rate of return of 43%.