Strategic Move: G Mining Ventures Completes Project Acquisition

G Mining Ventures Expands Its Portfolio

G Mining Ventures Corp. (NASDAQ: GMIN) has announced its strategic acquisition of the CentroGold Project, which is located in the Gurupi Gold Belt. This acquisition is seen as a significant step forward for GMIN, as it aims to solidify its position in the gold mining sector.

Understanding the CentroGold Project

The CentroGold Project boasts a considerable gold resource, with an estimated 1.7 million ounces in indicated resources and an additional 0.6 million ounces in inferred resources, all compliant with JORC standards. This resource is not static; it remains open for expansion both at depth and laterally, providing GMIN with considerable exploration potential.

A Distinctive Land Package

Covering approximately 1,900 square kilometers across 47 tenements, the project provides GMIN with a district-scale land package. This substantial territory allows for numerous new discoveries, making it an exciting prospect for future exploration initiatives.

Transaction Benefits for GMIN

Through this acquisition, GMIN has established a long-term growth trajectory following the ramp-up of the Tocantinzinho Gold Mine, which is already in production. This acquisition is seen as cost-effective, containing no upfront payment, thus enhancing GMIN's project pipeline. GMIN will pay BHP a 1.0% NSR royalty on the first million ounces of gold produced and a 1.5% NSR thereafter.

CentroGold’s Geological Advantages

The project’s geological framework is promising, featuring a mineralized trend that stretches over 80 kilometers. The multiple gold targets identified, including the Blanket, Contact, and Chega Tudo deposits, offer significant resource potential. A previous pre-feasibility study conducted by Oz Minerals projected a 10-year mine life with robust annual gold production figures, projecting 100,000 to 120,000 ounces in a typical year.

Future Development and Goals

GMIN’s leadership sees CentroGold as an advanced-stage exploration asset. With extensive geological work already completed, including over 135,000 meters of core drilling, the project will be further refined to align with current industry standards and requirements. GMIN plans to reshape the existing geologic model to meet NI 43-101 standards swiftly after the acquisition’s closure.

Quotes from Leadership

GMIN President and CEO Louis-Pierre Gignac expressed excitement about the acquisition, citing the project's robust resource base and significant exploration upside. He stated that this project complements GMIN’s high-quality portfolio, which includes the Tocantinzinho producing mine and the developing Oko West Project, emphasizing the growth potential available to shareholders.

Strategic Fit for GMIN

This acquisition aligns perfectly with GMIN’s strategy of acquiring undervalued assets that they are uniquely positioned to exploit. The company’s projected growth trajectory for 2024 suggests potential for substantial development in gold resource base and production capabilities.

Projected Timeline for Integration

The acquisition is anticipated to close in the first quarter of 2025, contingent upon customary regulatory approvals from appropriate competition authorities. GMIN has announced its intention to expedite the exploration and development processes post-acquisition to maximize its new asset's value.

Critical Support and Advisory Team

To facilitate this transaction, GMIN has engaged RBC Capital Markets as its financial advisor, while legal advisory support is provided by Blake, Cassels & Graydon LLP and other firms. This strong advisory team enhances the structural integrity of the acquisition process.

About G Mining Ventures Corp.

G Mining Ventures is committed to the growth of its precious metal projects while focusing on responsible and sustainable mining practices. The company remains strategically positioned to capitalize on valuable opportunities in favorable jurisdictions, backed by a proficient management team.

Frequently Asked Questions

What is the CentroGold Project?

The CentroGold Project is a major gold mining project in the Gurupi Gold Belt, boasting significant JORC-compliant gold resources.

What are the benefits of the acquisition for GMIN?

This acquisition enhances GMIN's project pipeline, provides long-term growth potential, and involves no upfront costs.

What is the royalty agreement with BHP?

Under the terms of the transaction, GMIN will pay a 1.0% NSR royalty on the first million ounces of gold and 1.5% thereafter to BHP.

What does the future look like for GMIN?

With this acquisition, GMIN aims to bolster its gold resource base and expand production capabilities while focusing on shareholder value creation.

How will GMIN further develop the CentroGold Project?

GMIN plans to refine the existing geologic model and accelerate exploration and development efforts post-acquisition to maximize value.

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