Newmont Corp. and GT Gold Corp. have entered into a binding agreement where 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 C$3.25, for cash consideration of approximately US$311 million (C$393 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,” Newmont President and CEO Tom Palmer said. “Newmont recognizes that our relationships with indigenous, first nations and host communities are critical to the way we operate.”

Palmer said the company is committed to continuing to build the relationship with the Tahltan Nation, including with the community of Iskut, which is near the project. “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 said 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 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 the second quarter of 2021, subject to meeting normal closing conditions.