Eldorado to Acquire Integra

Miners at Integra’s Lamaque project are advancing the Triangle exploration ramp (inset).
Eldorado Gold has entered into a definitive agreement with Integra Gold to acquire all of the shares of Integra that it does not currently own in a transaction valued at approximately C$590 million.

Integra’s principal asset is the Lamaque project near Val-d’Or, Quebec. Lamaque hosts an indicated resource of 5.1 million metric tons (mt) at a grade of 9.13 grams per mt (g/mt) gold and an inferred resource of 3.5 million mt at a grade of 7.94 g/mt gold (5 g/mt gold cut-off). A preliminary economic assessment was completed in February that envisions a high-grade underground operation producing 123,000 oz per year (oz/y) of gold at all-in sustaining costs of $634/oz over 10 years. Integra is currently in the process of advancing underground ramp development to facilitate underground exploration and completion of a bulk sample.

“We have been following Integra’s progress at Lamaque over the last 18 months and commend their team for the accomplishments to date,” said George Burns, president and CEO, Eldorado Gold. “From previous experience of building and operating gold mines in Canada, I am excited about Eldorado’s entry into the Eastern Abitibi. With our current balance sheet strength post the sale of our Chinese assets, this acquisition represents a use of the proceeds complementing our existing portfolio of high-quality, low-cost assets.”

The transaction requires approval by shareholders and is subject to the receipt of certain regulatory, court and stock exchange approvals, and other closing conditions customary in transactions of this nature. It is anticipated that the meeting of Integra shareholders will be held in July.

As featured in Womp 2017 Vol 06 - www.womp-int.com