Alamos Gold (TSX: AGI) will be acquiring that of Trillium Mining Corp, a Toronto-based exploration and development company whom has gold assets within the Wawa gold camp of Ontario. The acquisition will see Alamos pay cash consideration of $25 million to acquire the development company.
Trillium Mining (Note: this is not Trillium Gold Mines whom trades on the TSX Venture) currently has a land package consisting of 5,418 hectares that is contiguous to Alamos’ Island Gold Deposit, with strike from this deposit believed to extend onto the Trillium property. The acquisition will significantly expand Alamos’ total property in the region to 14,929 hectares in total.
Recent drilling conducted on Alamos’ property near to the property bordered by Trillium has intersected the best results to date at 28.97 g/t gold over 21.76 metres true width, along with a second nearby hole that hit 15.38 g/t gold over 15.02 metres. There is said to be a strong potential for the current mineralization structure to extend onto Trillium’s property as a result.
With the additional property now under its ownership, Alamos has indicated that it will implement a systematic district scale approach to the exploration of the expanded property. Commenting on the purchase, Alamos CEO John A McCluskey stated, “The acquisition of these claims ensure we maintain full ownership over future growth of the existing deposit and regionally where there have been a number of high-grade gold occurrences including two past producing mines.”
Alamos Gold last traded at $12.50 on the TSX.
Information for this briefing was found via Sedar and Alamos Gold. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.
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