A quiet resolution could be taking shape in one of mining’s more dramatic international disputes. Turkey’s Nurol Holding is reportedly in advanced talks to acquire all of Alamos Gold (NYSE:AGI)’s assets in the country’s northwestern Canakkale provincean area that’s home to three gold and silver projects. The most developed of the bunch, the Kirazli project, has been stuck in limbo since 2019 after Turkish regulators declined to renew key licenses and pulled its forestry permit. What followed was a mix of environmental protests and legal wrangling that culminated in a $1 billion arbitration claim against the Turkish government.
Now, that $1 billion standoff may be headed for a quiet exit. On July 2, arbitration proceedings were officially paused, according to the World Bank’s international dispute body, just days after Turkey’s parliament approved a new law easing mining approvals in protected areas. That timing may not be coincidental. Alamos has long claimed it invested $250 million into the projects, unlocking over $1 billion in value and promising more than half a billion in government revenue. But after years of stalled development and legal gridlock, a sale to Nurolalready a producer of gold and silver in Turkeycould be the cleanest off-ramp for both sides.
For Alamos, this potential exit may mark the end of a costly chapter. Since 2018, its stock has surged more than sevenfold, helped by assets in Canada, Mexico, and the U.S.regions that offer fewer regulatory surprises. The shares are already up 32% this year. A finalized deal with Nurol could help the company close the book on Turkey while capitalizing on momentum elsewhere. For Nurol, acquiring the Canakkale sites might be more than just a trophy purchase. With the legal cloud lifting and Ankara fast-tracking strategic mineral projects, these mines could soon be back in play.
This article first appeared on GuruFocus.