Keel Sells Paraguay Mining Site for $13M, Shares Rally Over 40%
Keel sold its Paraguay mining site for $13 million, netting 56% less than the initially projected $30 million as it exits all non-core assets. The company plans to allocate this cash toward its North American HPC/AI pipeline development, contributing to a 40% one-month and 9% one-day share rally.
1. Asset Sale and Proceeds
Keel closed the sale of its mining site in Paso Pe, Paraguay, for $13 million, about 56% less than the $30 million initially projected, leaving no non-core assets to divest and unlocking two to three years of estimated free cash flow upfront.
2. Strategic Pivot to AI
The company will immediately allocate all proceeds to its high-performance computing and AI pipeline development in North America, marking a full exit from Latin American mining operations and targeting stronger shareholder returns.
3. Share Price Rally
Keel shares have jumped roughly 40% over the past month and gained about 9% intraday to trade near $3.06, reflecting investor optimism around the firm’s strategic shift.