Galiano Gold to Acquire 45% Stake in Ghana Gold Mine from Gold Fields
By Adriano Marchese
Galiano Gold agreed to acquire a 45% interest in a mine in Ghana from a subsidiary of Gold Fields, setting a foothold in the African mining space.
The Vancouver, British Columbia-based miner said Thursday that it has entered into a binding share purchase agreement with the subsidiary to acquire the stake in the Asanko gold mine.
The company said it will issue $20 million worth of its shares, and that there will be a future cash consideration of up to $85 million and a capped 1% net-smelter return royalty on 447,000 ounces of gold for Gold Fields.
Upon closing of the acquisition, which is expected in the first quarter next year, Gold Fields will also receive $65 million in cash, equivalent to its effective interest in the cash balance of the joint venture.
Galiano expects average annual gold production to be about 240,000 ounces between 2024 and 2030, and it said that this doubles Galiano's attributable gold production, cash flow and mineral reserves.
Write to Adriano Marchese at adriano.marchese@wsj.com
(END) Dow Jones Newswires
December 21, 2023 08:17 ET (13:17 GMT)
Copyright (c) 2023 Dow Jones & Company, Inc.-
What’s the Difference Between the CPI and PCE Indexes?
-
Micron Earnings: Great Guidance but Stock Now Looks Fairly Valued
-
August PCE Report Forecasts Show More Good News on Inflation
-
AI Stocks May Be Down, but Don’t Count Them Out
-
4 Stocks to Buy as the Fed Cuts Interest Rates
-
Markets Brief: The Uncertain Path to Neutral Interest Rates
-
What’s Happening in the Markets This Week
-
Where Top Stock Fund Managers Are Looking Next After the Fed Rate Cut
-
Our Top Pick for Investing in US Renewable Energy
-
How to Measure a Stock’s Uncertainty
-
How to Determine Whether a Stock Is Cheap, Expensive, or Fairly Valued
-
Why a Company’s Management and Capital Allocation Matter
-
How to Determine What a Stock Is Worth
-
How to Measure a Company’s Competitive Advantage
-
How to Think Like a Stock Analyst
-
How GLP-1 Drugs Like Ozempic Are Boosting Biopharma Stocks