G Mining to Buy G2 Goldfields for About $3 Billion, Growing Its Reach in Guyana

By Robb M. Stewart

G Mining Ventures will buy fellow Canadian miner G2 Goldfields in a deal valued at about 3 billion Canadian dollars (US$2.17 billion), allowing it to extend its footprint in Guyana and consolidate a pair of projects in an emerging gold district.

The planned takeover builds on a wave of dealmaking in the gold industry as the price for the precious metal remains strong, even after pulling back from a record high hit early this year.

Under the terms of the transaction, G2's shareholders will receive 0.212 of a G Mining shares for each share held. That implies an offer price of C$10.84 a share, an 80% premium to where the stock last closed. G2's shares have retreated roughly 5% so far this year, but remain more than 90% up from a year earlier as gold-related stocks have soared.

G2 shareholders are also being offered all the shares in a newly created gold explorer, dubbed G3 SpinCo, that will hold interests in all the remaining G2 properties that G Mining isn't adding to its portfolio.

The prize for G Mining is G2's Oko-Ghanie project, which sits near its own fully permitted and fully financed Oko West project. Combining the two promises to create a large-scale, low-cost gold mining hub in Guyana with an expected combined average life-of-mine production of over 500,000 troy ounces a year.

G Mining said it sees an opportunity to accelerate Oko-Ghanie's permitting timeline by combining with Oko West Project, where it continues to target its first gold production in the second half of 2027.

G Mining, which already operates a gold mine in Brazil, forecast more than C$1 billion in savings by bringing the two companies together, from costs and sharing infrastructure. A combined operation would forego some C$850 million that would otherwise need to be spent to construct a standalone Oko-Ghanie project, it said. The companies also said they will have a number of exploration targets across the combined property, which sits in a geological region that has yielded multiple world-class discoveries.

When the transaction is completed, G Mining's existing shareholders will own about 80% of the combined company and G2 shareholders will own the remainder. The agreement has been unanimously approved by the G2's board.

G3 SpinCo will hold interests in the Tiger Creek property, Peters Mine property and Property B and will be funded with C$45 million of cash plus a contingent value right providing for payments to be made to the new exploration company of up to US$200 million, based on various measures.

Write to Robb M. Stewart at robb.stewart@wsj.com

(END) Dow Jones Newswires

April 09, 2026 07:22 ET (11:22 GMT)

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