en.Wedoany.com Reported - Canadian mining company G Mining Ventures Corp. (GMIN, TSX: GMIN) announced on April 9, 2026, that it has entered into a definitive agreement to acquire G2 Goldfields Inc. (G2, TSX: GTWO) for an equity value of approximately $2.2 billion (C$3.0 billion). The transaction, structured as a court-approved plan of arrangement, is expected to close in the second quarter of 2026. It will consolidate the companies' adjacent Oko West and Oko-Ghanie gold projects in Guyana, creating a large-scale, low-cost mining hub with an annual production capacity exceeding 500,000 ounces of gold.

Headquartered in Brossard, Quebec, Canada, G Mining Ventures is a mining company focused on the acquisition, exploration, and development of precious metals projects. It operates the Tocantinzinho gold mine in Brazil and is advancing the Oko West project in Guyana. The Oko West project, 100% owned by GMIN, is located in Region 7, Cuyuni-Mazaruni, Guyana. A feasibility study has been completed, outlining proven and probable reserves of 4.64 million ounces of gold at an average grade of 1.89 g/t. The project has a mine life of 12.3 years with an average annual production of approximately 350,000 ounces. It received construction approval in October 2025 and was granted a 20-year mining license from the Guyana Geology and Mines Commission in December of the same year. First gold pour is anticipated in the second half of 2027, with approximately 60% of detailed engineering design currently completed. Commercial production is scheduled for January 2028. Headquartered in Toronto, Canada, G2 Goldfields' flagship Oko-Ghanie project is located approximately 20 kilometers north of Oko West. A Preliminary Economic Assessment in December 2025 indicated a mine life of 14 years with total production of approximately 3.2 million ounces and average annual production of about 298,000 ounces.

The acquisition will be conducted as an all-share transaction. For each G2 common share held, G2 shareholders will receive 0.212 of a GMIN common share (representing a premium of approximately 72%), plus shares of a newly formed gold exploration company, G3 SpinCo. G3 SpinCo will hold interests in non-core assets including the Tiger Creek, Peters, and B Zone properties, and will receive C$45 million in cash and a contingent value right of up to $200 million based on a resource assessment. Upon completion, existing GMIN shareholders and G2 shareholders will own approximately 80.1% and 19.9% of the combined company, respectively. G2 shareholders will also own all shares of G3 SpinCo. Financial advisors for the transaction are BMO Capital Markets and National Bank of Canada (for GMIN), and ATB Cormark Capital Markets and Canaccord Genuity (for G2).

The two projects are located within the Guiana Shield greenstone belt, approximately 20 kilometers apart. Upon consolidation, they will form a contiguous land package exceeding 362 square kilometers, hosting approximately 7 million ounces of measured and indicated resources and 2.3 million ounces of inferred resources. GMIN anticipates the merger will generate synergies exceeding C$1 billion, including avoidance of approximately C$850 million in capital expenditures through shared infrastructure and optimized mine planning, and operational cost savings of about C$275 million. Louis-Pierre Gignac, CEO and Director of GMIN, stated that the first gold production from Oko West remains on track for the second half of 2027, while the permitting process for Oko-Ghanie is expected to accelerate due to its combination with the fully permitted Oko West project. Consolidation of the deposits is expected to optimize the mine sequencing, support higher mill feed grades, achieve a more balanced open pit and underground mining mix over the mine life, and reduce overall development risk.

The advancement of this deal comes amid active merger and acquisition activity in the gold industry, reflecting a trend among major mining companies to reduce development costs and enhance economies of scale through resource consolidation in emerging gold-producing regions of South America.

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