06:25 AM EDT, 10/14/2025 (MT Newswires) -- Capstone Copper ( CSCCF ) late Monday said it has struck an agreement to sell a 25% ownership interest in the Santo Domingo and Sierra Norte projects for up to US$360 million to fund entities managed by Orion Resource Partners.

The cash consideration is composed of $225 million for a 25% ownership stake, payable upon a positive final investment decision on Santo Domingo, expected in the second half of 2026; a $75 million matching contribution payable within six months of FID; and up to $60 million in contingent cash consideration payable to Capstone upon the achievement of certain milestones.

Deal proceeds, in addition to Orion's pro-rata equity contributions, will reduce Capstone's estimated share of equity contributions to about $400 million.

Capstone has the option to re-consolidate 100% ownership of Santo Domingo once commercial production is achieved.

Concurrently, Capstone and Orion entered into an equity subscription agreement, under which Orion will subscribe for Capstone common shares for $10 million at a price per share representing a 5% premium to the five-day volume-weighted average price prior to announcement, subject to Toronto Stock Exchange approval.

Proceeds from the subscription agreement will be used to commence a new exploration program at Santo Domingo and Sierra Norte.

Capstone fell more than 4% from near 52-week highs last Friday, before the Canada Thanksgiving holiday weekend.