Thompson Creek Metals

In 2006, the privately held Thompson Creek Metals Company (USA) was acquired by Canadian-based, publicly traded mining company Blue Pearl Mining Ltd for US$575 million, in addition to other payments worth as much as US$125 million depending on the price of molybdenum. The name Blue Pearl Mining Ltd was changed to Thompson Creek Metals Company Inc. in May 2007. Concurrent with the acquisition of Terrane, the Company entered into a Gold Stream Arrangement with Royal Gold Inc. as a financing mechanism for the purchase of Terrane. The Gold Stream Agreement was amended twice for a total payment by Royal Gold of approximately US$781 million for the right to purchase 52.25% of the gold from Mount Milligan Mine for US$435 per ounce for the life of the mine. ==Operating Mines==

Mount Milligan — Mount Milligan Mine (open-pit copper and gold mine) is located 90 miles northwest of Prince George in Central British Columbia, Canada. Mount Milligan Mine has a concentrator with a 60,000 tpd design capacity copper flotation processing plant. In October 2010, through the Terrane acquisition, Thompson Creek Metals obtained the Mount Milligan development project and initiated construction soon after. and includes Bruno Creek Tailings Impoundment, the second tallest center-line tailings dam in the world. The capacity of the mill to process is approximately 30,000 tons of ore per day to produce molybdenum sulfide concentrate. It is then roasted at the Company’s Langeloth Metallurgical Facility into molybdenum trioxide, ferromolybdenum products, and other specialty products. Due to low molybdenum prices, this mine is under maintenance and care currently. Expansion projects, which began in 2008 increased capacity by 77.4% (though expansions which include new mills will cut the mine life by 38.5% to 16 years). Langeloth Metallurgical Facility — The Langeloth Metallurgical Facility, located 25 miles west of Pittsburgh, Pennsylvania, is a world-class facility with a long history of producing high-quality metallurgical products used mainly in the steel and chemical industries. The facility has roasting capacity of 35 million pounds of molybdenum per year. Four multiple-hearth furnaces are used for the conversion (roasting) of molybdenum disulfide concentrates into technical grade molybdenum oxide (tech oxide), which is sold in powder form or briquettes or converted into pure molybdenum oxide or ferromolybdenum. Two other furnaces process spent catalyst material containing other metals. ==Projects==

As part of the Terrane acquisition, Thompson Creek also acquired a copper, molybdenum and silver exploration property located in British Columbia, Canada (the Berg Property). Berg Property — Located about 50 miles southwest of Houston, BC and 15 miles northwest of Huckleberry Mine, this project is continuously assessed to determine if the deposit of copper, molybdenum, and silver is commercially ready for production. The Berg property is 100% owned by the company. Royal Gold has 1% net smelter return royalty held on eight of the mineral claims and one mining lease, including those which host the deposit on the Berg property. All mineral claims and the mining lease are in good standing and good to dates ranging from August 2015 to November 2021. Mineral claims are subject to exploration expenditure obligations, or they may choose to pay annual fees to the province in lieu of exploration expenditures. Thompson Creek expects to renew such mineral claims and mining lease in the ordinary course. ==References==