A year after Barrick ended its alliance with Japan Gold (TSXV: JG), a new partner has stepped in with a dramatically different plan.
Solidcore Resources, the former Polymetal and now a roughly US$5.5 billion gold producer, has committed significant capital to five of Japan Gold’s projects. The deal includes C$35 million of exploration spending, a major equity investment at a 50% premium, and a defined path that can carry projects all the way through feasibility.
The contrast with Barrick is striking. Solidcore plans up to 34,500 metres of drilling across five projects, versus just over 3,000 metres of scout drilling during the Barrick alliance. Japan Gold also keeps 22 other projects at 100%, while its balance sheet has been recapitalized and its debt eliminated.
In this video, we break down the deal, who Solidcore really is, why it chose Japan, what shareholders gave up, and why the market is currently valuing Japan Gold below the price its new strategic partner just paid.
