2024-04-14 08:00:10 ET
Summary
- Alamos Gold is acquiring Argonaut Gold to gain the Magino mine, increasing its annualized production volume above 600Koz of gold.
- The acquisition will provide Alamos Gold with a long reserve life, a new mill, significant synergies, and a tax pool in Canada.
- The addition of Magino will increase Alamos Gold's consolidated AISC in 2024, but Magino’s costs will be closer to the other Alamos Gold assets from 2025 and onward.
Overview
Alamos Gold ( AGI ) is a North-American mid-size gold mining company, with producing assets in Canada and Mexico. A few weeks ago, the company announced a friendly acquisition of Argonaut Gold ( OTCPK:ARNGF ) to get the Magino mine, located right next to Alamos Gold's Island Gold mine. Argonaut's other higher-cost mines in the U.S. and Mexico will be spun out into a new company....
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For further details see:
Alamos Gold: The Argonaut Gold Acquisition Will Boost Production And Deliver Substantial Synergies