McEwen Inc. Acquires Golden Lake Exploration, Strengthening Nevada Gold Operations
McEwen Inc. completes acquisition of Golden Lake Exploration, adding the Jewel Ridge projects in Nevada to its Gold Bar Mine Complex to expand exploration and extend mine life.
McEwen Inc. (NYSE: MUX) (TSX: MUX) announced the completion of its acquisition of Golden Lake Exploration Inc. (CSE: GLM) (OTCQB: GOLXF) through a statutory plan of arrangement, marking a strategic move to bolster its gold mining operations in Nevada. Under the terms of the deal, Golden Lake shareholders received 0.003876 McEwen shares for each Golden Lake share held. The transaction adds Golden Lake's Jewel Ridge projects to McEwen's Gold Bar Mine Complex, supporting the company's strategy to expand exploration and extend mine life. Golden Lake shares are expected to be delisted, and the company will cease reporting obligations.
The acquisition is significant for McEwen as it consolidates its position in the Cortez Trend, one of the most prolific gold-producing regions in the United States. The Jewel Ridge projects are adjacent to McEwen's existing Gold Bar Mine, offering potential synergies in exploration and development. This deal aligns with McEwen's broader strategy to increase gold and silver production while advancing its copper development projects in the Americas.
McEwen's portfolio includes gold and silver mines in Nevada, Ontario, Manitoba, and Argentina, as well as a 46.3% interest in McEwen Copper, which owns the advanced-stage Los Azules copper project in Argentina. The Los Azules project is designed to be one of the world's first regenerative copper mines and aims for carbon neutrality by 2038. According to the last financing for McEwen Copper, the implied value of McEwen's ownership interest is US$456 million, or US$7.67 per share.
In addition to its mining assets, McEwen recently purchased a 27.3% stake in Paragon Advanced Labs Inc., a company deploying PhotonAssay units worldwide. McEwen believes this technology could become the new industry standard for assaying precious and base metals.
Chairman and Chief Owner Rob McEwen has personally invested over US$250 million in the company and takes a salary of $1 per year, aligning his interests with shareholders. McEwen is a recipient of the Order of Canada, a member of the Canadian Mining Hall of Fame, and a winner of the EY Entrepreneur of the Year (Energy) award. His objective is to build MUX's profitability, share value, and ultimately implement a dividend policy, as he did while building Goldcorp Inc.
Investors can access the full press release at this link. For the latest news and updates on MUX, visit the company's newsroom at https://ibn.fm/MUX.