About CA$22m is to be spent to purchase 11.7% of G2 Goldfields’ issued and outstanding shares
19 December 2023 - 17:17
by Denene Erasmus
Support our award-winning journalism. The Premium package (digital only) is R30 for the first month and thereafter you pay R129 p/m now ad-free for all subscribers.
AngloGold Ashanti has announced its intention to acquire an 11.7% stake in Canadian exploration and development company G2 Goldfields which operates in Guyana in South America.
G2 Goldfields has been involved in the discovery and development of several gold mining projects in Guyana as well as the development of the South American country’s largest gold mine, Aurora. For the deal AngloGold is to spend about CA$22m (R303m) to purchase 11.7% of G2 Goldfields’ issued and outstanding shares.
As part of the initial subscription for 24.5-million common shares (at 90c per share), AngloGold will be granted pre-emptive and top-up rights for future security issuances by G2 Goldfields.
“This strategic investment in G2 will provide us with a strong position in one of the world’s key gold provinces with significant potential for new discoveries. We look forward to G2’s continued exploration success as the Guiana Shield continues to develop.” AngloGold CEO Alberto Calderon said.
The subscription is expected to close in January 2024, subject to conditions.
Guyana hosts the Guiana Shield, one of the world’s most prospective gold provinces which includes significant deposits such as the 6-million ounces (Moz) Aurora mine.
One of G2 Goldfields’ largest projects in Guyana is the OKO project comprising two deposits. Earlier in 2023 the company announced the Oko Main Zone, one of the two deposits, includes an indicated mineral reserve of about 220,000oz.
AngloGold operates in Australia and several African and South American countries. It is also involved in a greenfields development in the US.
AngloGold exited SA in 2020 after selling its last SA mine to Harmony Gold. However, the company is still listed on the JSE where it has a market cap of about R141.5bn.
Its share price, which is mostly driven by the gold price, was up 2.4% at R337.01 in late afternoon trade on the JSE.
Support our award-winning journalism. The Premium package (digital only) is R30 for the first month and thereafter you pay R129 p/m now ad-free for all subscribers.
AngloGold to buy stake in Canadian miner
About CA$22m is to be spent to purchase 11.7% of G2 Goldfields’ issued and outstanding shares
AngloGold Ashanti has announced its intention to acquire an 11.7% stake in Canadian exploration and development company G2 Goldfields which operates in Guyana in South America.
G2 Goldfields has been involved in the discovery and development of several gold mining projects in Guyana as well as the development of the South American country’s largest gold mine, Aurora. For the deal AngloGold is to spend about CA$22m (R303m) to purchase 11.7% of G2 Goldfields’ issued and outstanding shares.
As part of the initial subscription for 24.5-million common shares (at 90c per share), AngloGold will be granted pre-emptive and top-up rights for future security issuances by G2 Goldfields.
“This strategic investment in G2 will provide us with a strong position in one of the world’s key gold provinces with significant potential for new discoveries. We look forward to G2’s continued exploration success as the Guiana Shield continues to develop.” AngloGold CEO Alberto Calderon said.
The subscription is expected to close in January 2024, subject to conditions.
Guyana hosts the Guiana Shield, one of the world’s most prospective gold provinces which includes significant deposits such as the 6-million ounces (Moz) Aurora mine.
One of G2 Goldfields’ largest projects in Guyana is the OKO project comprising two deposits. Earlier in 2023 the company announced the Oko Main Zone, one of the two deposits, includes an indicated mineral reserve of about 220,000oz.
AngloGold operates in Australia and several African and South American countries. It is also involved in a greenfields development in the US.
AngloGold exited SA in 2020 after selling its last SA mine to Harmony Gold. However, the company is still listed on the JSE where it has a market cap of about R141.5bn.
Its share price, which is mostly driven by the gold price, was up 2.4% at R337.01 in late afternoon trade on the JSE.
erasmusd@businesslive.co.za
AngloGold offloads its 50% in Colombian project for R1bn
AngloGold mothballs mine in Brazil as part of global shake-up
Gold still the ‘catastrophe’ metal of choice
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Most Read
Published by Arena Holdings and distributed with the Financial Mail on the last Thursday of every month except December and January.