Wedoany.com Report on Feb 3rd, Eldorado Gold has reached an agreement to acquire Canadian miner Foran Mining, valuing Foran Mining at approximately C$3.8 billion (about US$2.8 billion). This acquisition will expand Eldorado Gold's copper mining business and strengthen its position in the critical minerals sector.
Upon completion of the transaction, Eldorado Gold's Skouries gold-copper project in Greece will be combined with Foran Mining's McIlvenna Bay copper project in Saskatchewan. Both projects are scheduled to commence commercial production this year. The company expects the combined group to produce approximately 900,000 ounces of gold equivalent by 2027, with an asset base weighted approximately 77% towards gold and 15% towards copper. Its operations will span Canada, Greece, and Turkey.
As global electrification and clean energy investments drive copper demand growth, this acquisition adds a second near-term growth project for Eldorado Gold. The combined company is projected to generate about US$2.1 billion in core profit and US$1.5 billion in free cash flow by 2027. Foran Mining CEO Dan Myerson stated in the announcement: "This transaction provides McIlvenna Bay with the scale and financial strength to realize its full potential, including accelerating phased expansion opportunities."
Under the terms of the agreement, Foran Mining shareholders will receive 0.1128 Eldorado Gold shares plus C$0.01 in cash per share, holding approximately 24% of the combined company. The transaction is expected to close in the second quarter of this year. The combined company will continue to operate under the name Eldorado Gold, headquartered in Vancouver.
The McIlvenna Bay project has been designated as a critical minerals development project and submitted to the newly established Major Projects Office. It is expected to become one of Eldorado Gold's core assets in Canada, supporting long-term employment and economic development in Saskatchewan and across the nation. The boards of both companies have unanimously approved the transaction, with a shareholder vote scheduled before April 14.
