Calibre Mining Corp. has entered an agreement to acquire the shares of Fiore Gold Ltd. The transaction will create a diversified, Americas-focused, growing midtier gold producer with targeted annual gold production of approximately 245,000 ounces (oz), according to the company. The combined company will have comprehensive technical capabilities to exploit a pipeline of development and exploration opportunities across a broader portfolio. This growth strategy will be supported by a strong balance sheet with a combined cash balance of $96 million and no bank debt.

Calibre will own and operate Fiore’s Pan gold mine, the adjacent advanced-stage Gold Rock project and the past-producing Illipah gold project in Nevada, as well as the Golden Eagle project in Washington.

“This transaction is the type of value-add diversified growth we set out to accomplish when we partnered with B2Gold to acquire our initial gold production,” Calibre Chairman Blayne Johnson said. “The addition of a top-tier, low-risk mining jurisdiction in Nevada creates a lower risk profile with greater asset and country diversification.

“The Pan heap leach gold mine brings an immediate increase to our production and cash flow, in addition to significant exploration potential. This transaction unlocks value for both Calibre and Fiore shareholders and further demonstrates Calibre’s commitment to building a quality diversified midtier gold producer.”

The pro forma company will have a fully funded growth pipeline with Calibre’s high-grade Eastern Borosi project and Fiore’s Gold Rock project located approximately 10 kilometers from the operating Pan mine, according to Calibre President and CEO Darren Hall.