B2Gold to merge with CGA Mining

Vancouver’s B2Gold Corp. (TSX:BTO) (OTCQX:BGLPF)(NSX:B2G), one of Business in Vancouver’s top three fastest-growing companies this year, announced December 20 that its shareholders voted to approve ...

Vancouver’s B2Gold Corp. (TSX:BTO) (OTCQX:BGLPF)(NSX:B2G), one of Business in Vancouver’s top three fastest-growing companies this year, announced December 20 that its shareholders voted to approve the company’s merger with CGA Mining Ltd. (TSX:CGA), based in Perth, Australia.

With 83% of shareholders voting, the results were 99.94% in favour of the merger.

The merged entity will operate CGA’s Masbate gold mine in the Philippines and B2Gold’s Limon and La Libertad gold mines in Nicaragua, which enjoyed record second-quarter gold production, it was announced in October.

“We believe CGA and its flagship Masbate mine offer B2Gold shareholders immediate leverage to a significantly larger combined production profile,” said Clive Johnson, president and chief executive officer of B2Gold.

“With this transaction, B2Gold becomes a new intermediate gold producer, achieving geographic and operational diversity while contributing significant cash and future cash flow towards B2Gold’s exciting development projects.”

CGA shareholders will meet on December 24 to vote on the proposal, and the transaction is expected to be fully implemented by January 31, 2013.

As of press time, CGA shares are trading at $2.59, an increase of 3.187% from yesterday, and B2Gold shares are at $3.54, a 2.312% increase.

ecrawford@biv.com

@EmmaCrawfordBIV

comments powered by Disqus

Also Read

More From Mining & Energy

Natural gas producers in northeastern B.C. are starting to produce more light oil

Read Article

FortisBC among companies committing to increase use of renewable biogas

Read Article

The Canadian oil and gas industry will not be able to benefit from future strengthening of commodity prices without...

Read Article

As it stands, the federal permits that allow for the project's construction are set to expire...

Read Article

Jen St. Denis discusses oil breaking $50 per barrel for the first time in 2016. Plus: New real estate rules and condo pre-sales

Read Article

Subscribe to our mailing lists

* indicates required

Newsletters

* You can modify your newsletter subscriptions at the bottom of any newsletter you receive.
×