Newmont Corporation and GT Gold Corp. have announced the signing of a binding agreement in which Newmont will acquire the remaining 85.1% of common shares of GT Gold not already owned by Newmont.
Under the terms of the agreement, Newmont will acquire each GT Gold share at a price of CAN$3.25, for cash consideration of approximately US$311 million (CAN$393.0 million).
“We are excited to expand our world-class portfolio to include the Tatogga project in the Tahltan Territory located in the highly sought-after Golden Triangle district of British Columbia, Canada” said Newmont President and CEO Tom Palmer. “Newmont recognises that our relationships with Indigenous, First Nations and host communities are critical to the way we operate. We are committed to continue building a constructive and respectful relationship with the Tahltan Nation, including with the community of Iskut, which is near the project, in anticipation of exploring this highly prospective area. We understand and acknowledge that Tahltan consent is necessary for advancing the Tatogga project and we will partner with the Tahltan Nation at all levels, and with the Government of British Columbia to ensure a shared path forward.”
Tahltan Central Government (TCG) President Chad Norman Day stated the following regarding the acquisition: “The Tahltan Central Government recognises Newmont’s purchase of GT Gold and the Tatogga project. Newmont is a major international mining company who already has an established relationship with the Tahltan Nation as Newmont owns 50% of the Galore Creek Mining Corporation, whose project is in Tahltan Territory. TCG understands the sensitivities of all mining projects and has communicated with Newmont that Tahltan consent is a requirement for the advancement of any project in Tahltan Territory. The TCG looks forward to working with Newmont in a respectful, meaningful, and mutually beneficial way.”
The Tatogga project, including the primary Saddle North deposit, has the potential to contribute significant gold and copper annual production at attractive all-in sustaining costs over a long mine life. In addition to the known deposits at Saddle North, there are further exploration opportunities throughout the land package. The acquisition of the Tatogga project adds to Newmont’s existing interest in the prospective Golden Triangle through the company’s 50% ownership in the Galore Creek project.
The transaction is expected to close in 2Q21, subject to meeting normal closing conditions.
Read the article online at: https://www.globalminingreview.com/mining/12032021/newmont-announces-acquisition-of-gt-gold/