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Newcrest clears last hurdle for Pretivm buy

28th February 2022

By: Esmarie Iannucci

Creamer Media Senior Deputy Editor: Australasia

     

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PERTH (miningweekly.com) – Gold miner Newcrest Mining has cleared the last regulatory hurdle to its $2.8-billion takeover offer for TSX- and NYSE-listed Pretium Resources (Pretivm).

The Australian gold miner on Monday announced that it had received approval under the Investment Canada Act. The transaction is now scheduled for completion on March 9.

Newcrest last year announced the $2.8-billion takeover offer for Pretivm, which holds the Brucejack mine 140 km from Newcrest’s Red Chris mine, in British Columbia.

Brucejack started commercial production in mid-2017, and is one of the highest grade gold mines in the world. A 2020 technical report estimated gold production of some 311 000 oz/y, at an all-in sustaining cost of $743/oz, over a projected mine life of 13 years. In 2021, the mine is anticipated to produce between 325 000 oz and 365 000 oz of gold.

The acquisition will increase Newcrest’s yearly gold production to well over two-million ounces a year, and the combination of the two companies would create the largest gold miner in British Columbia.

Edited by Creamer Media Reporter

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