Evolution Mining to acquire Carnaby Resources for $149m

Evolution Mining has agreed to get 100% of Carnaby Resources successful a woody valued astatine astir A$213m ($149m), aft the 2 companies signed a binding strategy implementation deed (SID).

The transaction, to beryllium carried retired done a strategy of arrangement, offers Carnaby shareholders A$0.77 per share.

They are acceptable to person 0.0682 Evolution shares for each Carnaby stock held.

The projected acquisition brings the Greater Duchess project, a copper-gold improvement adjacent the Ernest Henry Operations successful north-west Queensland, nether Evolution's control.

The project, presently astatine the pre-feasibility stage, has a reported mineral assets estimation of 29.2 cardinal tonnes (mt) astatine 1.3% copper and 0.2 grams per tonne (g/t) gold, and an ore reserve estimation of 8.4mt astatine 1.7% copper and 0.3g/t gold.

Evolution stated that the summation of Greater Duchess could summation copper output astatine Ernest Henry by astir 10,000 tonnes per annum utilizing existing infrastructure and mill capacity.

Completion of the strategy is taxable to Carnaby shareholder approval, regulatory clearances, including from the Australian Competition & Consumer Commission, tribunal support and different modular conditions.

Existing tolling and offtake arrangements betwixt Carnaby and Glencore volition beryllium terminated arsenic portion of the deal.

Post-acquisition, ore from Greater Duchess volition beryllium sold to Glencore nether the existent Ernest Henry offtake terms.

Evolution and Glencore person besides agreed to an statement for third-party ore processing astatine Ernest Henry.

The pathway for the Greater Duchess task includes completing an updated feasibility survey wrong 12–18 months, with further regulatory approvals required earlier a last concern determination tin beryllium made.

Carnaby shareholders participating successful the strategy volition ain astir 0.9% of Evolution Mining pursuing completion.

The acquisition is intended to springiness Evolution entree to further determination exploration projects and grow its beingness successful the Cloncurry copper-gold district.

Evolution Mining managing manager and CEO Lawrie Conway said: "The acquisition of Carnaby represents an breathtaking accidental to adhd the Greater Duchess task to our portfolio and further consolidate our presumption successful the highly prospective Cloncurry region."

"Evolution Mining to get Carnaby Resources for $149m" was primitively created and published by Mining Technology, a GlobalData owned brand.