Cygnus Metals and Doré Copper Mining stated on Wednesday (January 1) that they’ve completed their merger.
The mixed entity might be a essential minerals explorer and developer with two core belongings in Québec, Canada.
Cygnus acquired the entire issued and excellent widespread shares of Doré on Tuesday (December 31) by a Canadian statutory plan of association, finalizing the deal. Cygnus shares are listed on the ASX underneath the image CY5, and are anticipated to start out buying and selling on the TSXV underneath the image CYG on or about Friday (January 3).
The corporate has additionally utilized to checklist on the OTCQB underneath the ticker image CYGGF.
The merger of equals between Cygnus and Doré was announced this past October, with the businesses emphasizing on the time that the deal would create worth for shareholders on each side. Underneath the settlement, every former Doré shareholder will obtain 1.8297 Cygnus shares for every share they held earlier than the transaction was finalised.
“By combining the confirmed exploration and administration expertise of the Cygnus workforce with the high-grade useful resource and immense upside on the Chibougamau Copper-Gold Challenge, we have now the potential to unlock substantial worth,” Cygnus Govt Chair David Southam stated on the time, including that plans for “aggressive exploration” had been within the works.
The brand new firm’s two essential belongings are the Chibougamau copper-gold venture and the James Bay lithium venture.
Chibougamau at the moment has a measured and indicated useful resource of three.6 million metric tons at 3 % copper equal, and an inferred useful resource of seven.2 million metric tons at 3.8 % copper equal.
James Bay’s Pontax venture holds a useful resource of 10.1 million metric tons at 1.04 % lithium oxide.
Doré introduced the Chibougamau asset to the desk, and in Wednesday’s launch former President and CEO Ernest Mast stated the Cygnus workforce has the flexibility to maximise the worth of the venture.
“This merger will present the funding, further experience and the technique aimed toward producing superior shareholder returns with an thrilling exploration program at Chibougamau,” he famous.
Southam will now act as govt chair of the brand new firm, whereas Mast will maintain the place of president and managing director in Canada. The board can even have two non-executive administrators from every of the merged corporations.
Cygnus stated that outcomes from a pre-Christmas drill program at Chibougamau are anticipated to be launched early this quarter. Following on from that, the corporate will start a drilling and geophysics program on the web site.
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Securities Disclosure: I, Gabrielle de la Cruz, maintain no direct funding curiosity in any firm talked about on this article.