Dual-listed Equinox Gold has completed its acquisition of TSX-listed Premier Gold Mines, adding Premier's interest in the construction-ready Hardrock project in Ontario, Canada; the producing Mercedes mine, in Mexico; and the Hasaga and Rahill-Bonanza exploration properties, in Ontario, to the company's existing portfolio of gold assets.
Further, the company has renamed the Hardrock project to the Greenstone project, a name which the company says is “well recognised in the region and supported locally”.
In addition, the spin-out of i-80 Gold Corp, a newly created company holding Premier's gold projects in the US, was also completed.
Equinox is a 30% shareholder of i-80 Gold.
Equinox CEO Christian Milau says that, with Mercedes and Greenstone in the company’s portfolio, the company has eight operating mines and one of the largest gold reserves in its peer group, “all in the mining-friendly jurisdictions of Ontario, California, Mexico and Brazil”.
The miner also has a strong, near-term growth profile with construction of the Santa Luz mine, in Brazil, under way, with Greenstone’s construction targeted to start this year and significant expansion projects at Los Filos, in Mexico, and Castle Mountain, in the US.
i-80 Gold CEO Ewan Downie, meanwhile, noted that Premier shareholders “will benefit from the combination with Equinox and its financial capacity to advance development of our flagship Greenstone project”.
Premier's common shares are expected to be delisted from the TSX within two to three business days, and Premier shareholders will receive 0.1967 of an Equinox common share for each Premier share held.
Each Premier warrant and option will become exercisable for Equinox common shares, as adjusted in accordance with the exchange ratio. Premier shareholders will also receive 0.4 of a share in i-80 Gold for each Premier share held.