First Eagle Gold Fund on Pan American Silver Corp.
Thesis
First Eagle holds small positions in both Pan American Silver's equity and its contingent value rights. The investment case includes optionality around the prospective reopening of the Escobal silver mine in Guatemala. The CVRs move with expectations for that reopening, so progress on the required consultation process could unlock value. The position also provides exposure to Pan American's large silver endowments and diversified producing-mine portfolio.
“We hold small positions in both its contingent value rights and equity.”
Key risks
- The Escobal mine remains shuttered pending compliance with Indigenous consultation guidelines.