Newcrest Mining Closes Pretium Resources Acquisition, Expects $15-$20 Million Annual Synergy Benefits
Newcrest Mining Limited (TSX: NCM) announced today the closing of the transaction to acquire Pretium Resources Inc. (TSX: PVG). This follows after the proposal secured shareholder and regulatory approvals.
Part of the acquisition is Pretium’s Brucejack mine in the Golden Triangle region of British Columbia.
“We are very excited to add Brucejack to Newcrest’s portfolio, which now includes exposure to six Tier 1 assets,” said Newcrest CEO Sandeep Biswas. “Through this acquisition and the continued development of our outstanding organic growth pipeline, Newcrest’s base case gold production is expected to remain strong until at least 2030.”
The acquisition brings Newcrest’s estimated attributable gold production out of its portfolio to more than 2.0 million ounces, including Brucejack’s expected production of 95,000 – 115,000 gold ounces.
Newcrest also outlined its plans for the Brucejack mine, including a target throughput capacity of 4,500 to 5,000 tonnes per day. The firm also expects the mine to deliver synergy benefits of approximately $15 – $20 million per year through leveraging the nearby majority-owned and operated Red Chris mine.
Meanwhile, Pretium shares are suspended from trading and are expected to be delisted from both the Toronto Stock Exchange and the New York Stock Exchange on March 11, 2022.
Pretium Resources last traded at $19.57 on the TSX.
Information for this briefing was found via Sedar and the companies mentioned. 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.
