Morrison Park Advisors Inc. (“MPA”), a leading mining M&A advisory firm, together with its IMAP partner in Chile, South Andes Capital, successfully advised Inversiones Alxar S.A. (“Alxar”), a wholly owned subsidiary of Empresas Copec S.A. (SNSE: COPEC), on the strategic sale of its 100% interest in Compañía Minera Sierra Norte S.A. (“CMSN”) to Capstone Copper Corp. (TSX: CS | ASX: CSC).
The transaction involved the sale of Sierra Norte, a high-potential iron oxide copper-gold (IOCG) deposit located 20 km northwest of Capstone Copper’s Santo Domingo Project in Chile’s Atacama Region. The asset covers ~7,000 hectares and includes historical resource estimates (non NI 43-101 compliant) of ~100Mt at 0.45% CuT, with significant sulphide feed potential for Capstone’s existing operations.
This acquisition aligns with Capstone Copper’s growth strategy to consolidate high-quality copper assets in Chile, one of the world’s most prolific mining jurisdictions. For Alxar (Copec), the sale represents a strategic divestment of a non-core asset, unlocking value for shareholders while maintaining focus on its core energy and forestry businesses.
Transaction Highlights
The Alxar-Capstone transaction underscores three key trends shaping copper M&A:
1. Strategic buyers are paying premiums for synergistic assets
Capstone Copper acquired Sierra Norte to extend mine life at its nearby Santo Domingo Project, demonstrating the value of proximity and infrastructure synergies.
IOCG deposits—known for their high-grade copper and gold potential—are increasingly sought after by major miners looking to replace depleting reserves.
2. Chile remains a top destination for copper investment
The Atacama Region is home to some of the world’s largest and highest-grade copper deposits, attracting global mining giants and private equity investors.
Regulatory stability and proven mining expertise make Chile a preferred jurisdiction for M&A transactions.
3. Fairness opinions are critical for cross-border deals
MPA provided an independent fairness opinion, ensuring Copec’s board and shareholders had confidence in the valuation and process. In Latin American mining deals, fairness opinions help accelerate approvals and mitigate regulatory risks.
About Capstone Copper Corp. (TSX: CS | ASX: CSC)
Capstone Copper is a leading North American copper producer with three operating mines (Pinto Valley in the U.S., Cozamin in Mexico, and Mantos Blancos in Chile) and a strong pipeline of development projects, including the Santo Domingo Project in Chile. The company is focused on growing its copper production to meet global demand for electrification and clean energy.
About the Advisors
This transaction was jointly led by Morrison Park Advisors Inc. (“MPA”) and South Andes Capital, MPA’s IMAP partner in Chile. South Andes Capital, established in 1993, is a leading corporate finance advisory firm in Chile, providing cross-border M&A, divestitures, and structured tender processes for local and international clients. With deep expertise in Chilean mining, energy, and industrial sectors, South Andes delivers local execution with global reach. For more information, visit southandes.com.
MPA’s mining practice has advised on over $1B in transactions, including copper, gold, lithium, and critical minerals assets in Canada, Latin America, and Australia. Our firm is known for its deep technical expertise, fairness opinion rigor, and ability to maximize value in complex cross-border deals.
As members of IMAP (International M&A Partnership), the world’s largest alliance of independent M&A advisory firms, MPA and South Andes leverage 50+ countries of local expertise to provide clients with unmatched cross-border deal execution. IMAP’s global network ensures seamless collaboration on transactions involving multinational buyers, sellers, and investors. Learn more at imap.com.