Montage Gold signs deal to acquire remaining African Gold shares

Core Viewpoint - Montage Gold has signed a binding scheme implementation deed with African Gold to acquire all issued shares of African Gold that it does not already own, enhancing its portfolio with the Didievi project in Côte d'Ivoire [1] Group 1: Transaction Details - The acquisition will add the Didievi project to Montage's portfolio, reinforcing its position in Côte d'Ivoire alongside the ongoing Koné project [1] - Montage has purchased 92,377,787 ordinary shares of African Gold at a price of A$0.07 ($0.045), resulting in a 17.3% stake in African Gold [5] - The implied fully diluted equity value for African Gold, excluding shares already held by Montage, is approximately $170 million [6] - Each African Gold fully paid ordinary share not currently owned by Montage will be exchanged for 0.0628 of a Montage common share, leading to African Gold shareholders owning around 7.8% of the combined company post-transaction [6] Group 2: Project Development - Montage has conducted a 40,000m drilling program and metallurgical testing at the Didievi project, deepening its understanding of the project's geological potential [2] - At the Blaffo Guetto deposit within Didievi, the inferred resource has increased from 4.93 million tonnes at 2.9 grams per tonne gold (452,000 ounces) to 12.4 million tonnes at 2.5 grams per tonne gold (989,000 ounces) [3] - The additional drilling has confirmed mineralization at new targets, indicating the potential for Didievi to become a high-quality stand-alone operation [5] Group 3: Management Insights - Montage CEO Martino De Ciccio expressed satisfaction with the addition of the Didievi project, highlighting its alignment with the ongoing Koné project and the company's strategic goals [4] - African Gold CEO Adam Oehlman emphasized confidence in Montage's ability to unlock value at the Didievi project, benefiting shareholders through Montage's exploration and construction expertise [7]