MinRex to acquire Electrum shares in gold-copper merger

Core Viewpoint - MinRex Resources has entered into a definitive arrangement agreement to acquire Electrum Discovery, creating a significant gold-copper merger valued at approximately $18.73 million (A$28 million) [1] Group 1: Transaction Details - The acquisition will proceed via a statutory plan of arrangement, positioning the deal as a merger of equals [1] - Electrum securityholders are expected to hold about 49% of the combined company, while MinRex investors will own around 51% [5] - Each Electrum share will be exchanged for 7.9 MinRex shares, with approximately 28% of Electrum's issued shares having signed voting support agreements for the transaction [5] Group 2: Project Highlights - Electrum's Tlamino Gold Project in Serbia contains near-surface inferred mineral resources of 670,000 ounces of gold equivalent at a grade of 2.9 grams per tonne [2] - MinRex's Sofala Gold Project in New South Wales hosts inferred mineral resources exceeding 350,000 ounces of gold at a grade of 1.6 grams per tonne [2] Group 3: Strategic Focus - The combined entity will prioritize unlocking value at the Tlamino Gold Project through resource expansion drilling and exploration for new discoveries around the Barje Deposit [3] - The merged portfolio will also include Electrum's Timok East Copper-Gold Project, focusing on identifying a significant copper-gold system [4] - MinRex's existing gold and base metals assets in the Lachlan Fold Belt will remain a priority, with continued emphasis on expanding resources at Sofala [4] Group 4: Timeline and Endorsement - The merger has been unanimously endorsed by both boards and is expected to be completed by March 2026, pending regulatory approvals [6] - MinRex director James Pearse emphasized that the merger represents a pivotal moment for both companies, enhancing scale, diversification, and technical depth [7]