31 Jul Resolute Mining grows West African portfolio with $274 million Toro Gold acquisition
Resolute Mining has announced the acquisition of fellow West African miner Toro Gold for a fee of US$274 million, expanding its West African portfolio into Senegal in the process.
The deal will see ASX and LSE-listed Resolute take immediate control of Toro and its Mako Gold Mine in Senegal. The mine is expected to produce 160,000 ounces of gold in 2019 at an AISC of $800 per ounce.
“The Mako Gold Mine is a high quality, strongly cashflow generative producing asset which complements our existing portfolio of large-scale, long-life mines,” said Resolute’s managing director and CEO John Welborn.
“We are delighted to combine our businesses. Senegal is an attractive investment jurisdiction for mining and we are very pleased to work with the Government of Senegal, our 10% partner at Mako,” he added.
Resolute’s entry into the Senegalese gold sector will compliment its existing portfolio in West Africa, which is comprised of the Syama Gold Mine in Mali and the Bibiani Gold Mine in Ghana. The company also owns the Ravenswood Gold Mine in Australia.
Following the acquisition, Resolute has raised its production guidance for the 12 months to 31 December 2019 to 400,000 ounces of gold at an AISC of $960 per ounce.