Hummingbird Resources Anticipates Pasofino Acquisition

Hummingbird Resources submitted a proposal to acquire Pasofino Gold, a Canadian gold mining company.

Hummingbird Resources, a United Kingdom-based gold mining company, has proposed a takeover of Pasofino Gold, a Canadian gold mining company. The proposed acquisition would create a leading gold producer with operations in Mali, Burkina Faso, and Guinea.

Hummingbird Resources has offered Pasofino Gold shareholders 0.42 Hummingbird shares for each Pasofino share.

The offer values Pasofino at approximately $157 million. The deal is subject to the approval of Pasofino shareholders and regulatory authorities. If approved, the acquisition is expected to close in the second half of 2023.

The acquisition would add Pasofino's Dugbe gold mine in Liberia to Hummingbird's portfolio.

The Dugbe gold mine is a high-grade, open-pit gold mine with a proven and probable mineral reserve of 1.1 million ounces of gold. The acquisition would also give Hummingbird access to Pasofino's exploration projects in Guinea and Burkina Faso.

Hummingbird Resources believes that the acquisition of Pasofino Gold would create a leading gold producer with a diversified portfolio of assets.

The combined company would have a production of over 300,000 ounces of gold per year and a mineral reserve of over 4 million ounces of gold. The acquisition would also give Hummingbird a stronger presence in West Africa, a region with a proven track record of gold production.

Pasofino Gold's shareholders are expected to vote on the proposed acquisition in the coming months.

If approved, the acquisition would be a significant step for Hummingbird Resources and would create one of the largest gold producers in West Africa.