A view of the Pan gold mine in Nevada. Credit: Minera Alamos.
Minera Alamos (TSXV: MAI) said it closed a C$135 million ($98 million) equity financing that will help the company pay for three Nevada assets it’s in the process of buying from Equinox Gold (TSX, NYSE-A: EQX).
Proceeds will cover the $90 million upfront cash portion of the Equinox deal, which includes the Pan gold mine, Gold Rock project and Illipah project, Minera Alamos said Thursday. Equinox will also receive about 96.8 million Minera Alamos shares, worth around $25 million. The deal, which was announced in August, should close by Sept. 30, Toronto-based Minera Alamos said.
The addition of Pan and Gold Rock is “transformational to Minera Alamos as the company stands to benefit from immediate cash flows from the producing Pan Gold mine during the currently strong gold price environment,” National Bank Financial analyst Rabi Nizami said…
