Alamos Gold has announced an offer to acquire Aurizon Mines Ltd. for $791 million. The combination of “world class assets demonstrates Alamos’ ability to identify and pursue opportunities that present a strong strategic fit to become a leading intermediate gold producer,” said Alamos President and CEO John McCluskey.
The combination of Alamos and Aurizon will immediately create a new leading intermediate gold mining company with increased diversification, scale and liquidity. The combined entity is anticipated to have an estimated market capitalization of approximately $2.6 billion.
“The new company, with two steady producing, low-cost mines located in stable jurisdictions, will be strongly positioned for growth,” McCluskey said. He was referring to Alamos’ 100% interest in two advanced-stage gold projects in Turkey, and additional earlier-stage exploration properties in Turkey and Mexico.
Alamos is a Canadian-based gold producer that owns and operates the Mulatos mine in Mexico, and has separate exploration and development activities in Turkey with 600 employees. Aurizon is a Canadian gold miner focused on developing in the Abitibi region of northwestern Quebec, with eight projects throughout the province.