The all-scrip amalgamation, which will see Harricana become an O3 subsidiary, brings the previously-mined Harricana project within the city limits of Val d'Or into O3's portfolio.

"The acquisition will advance O3 Mining's strategy of being a premier gold exploration company in Canada and an emerging consolidator of exploration properties in the highly-prospective gold camps in Canada - our focus is on areas we are very familiar with in Ontario and Québec," president and CEO José Vizquerra Benavides said.

It follows O3 picking up Chalice Gold Mines' assets in Val-d'Or in July and acquiring Val-d'Or explorer Alexandria Minerals earlier this month, after Agnico Eagle Mines' rival bid for Alexandria expired without being accepted.
 
O3 formed through the spin-out of Osisko Mining's non-core exploration assets and a reverse takeover of Chantrell Ventures.

On closing the transaction on July 5, O3 gained access to escrowed proceeds of about C$18 million (US$13.5 million) and marketable securities transferred from Osisko with a value of about $14 million (US$10.5 million).

O3's share price has fallen from $3.65 on July 11 and closed at $2.59 on Friday, capitalising it at $111 million (US$83.5 million).