Comstock completes $45 million mining-asset sale

Comstock Inc. announced the completion/closing of a sale to Mackay Precious Metals, a unit of Mackay Gold & Silver Corp., of its legacy mining, processing, and mining-district-related real estate entities for more than $45 million. The deal provides Comstock with $20 million in cash and 2 million Mackay Gold & Silver shares valued at about $4.5 million, and it is expected to generate a gain of roughly $10 million to $12 million with no cash taxes. Mackay assumes all reclamation obligations and related liabilities, while Comstock retains a 1.5% net smelter return royalty on production from the sold properties and a secured second-tranche payment of up to $7 million due within 18 months, plus a potential $10 million contingent payment tied to mine construction or a change of control valued at or above $500 million. The transaction also involved the transfer of all four of Comstock’s mining subsidiaries, including all claims, town lots, processing facilities, and water rights. Executives described the move as a milestone in transforming Comstock into a broader renewable metals and materials company, aimed at improving liquidity, reducing costs, and focusing on solar recycling growth while avoiding shareholder dilution. The deal underscores a strategic shift for Comstock as Mackay assumes the assets and liabilities of the mining operations, with the closing date noted as August 24, 2026.