M&A

Galiano acquires ex-Barrick project in Mali

Galiano Gold is adding to its assets in West Africa, acquiring Barrick Gold’s ABG Mali Exploration for US$1.5 million.

 Galiano Gold, which operates the Asanko mine in Ghana, is putting exploration on the agenda this year

Galiano Gold, which operates the Asanko mine in Ghana, is putting exploration on the agenda this year

Debt-free Galiano, which operates the Asanko gold mine in Ghana, had ended March with about $65 million in cash.

Galiano said the 167sq.km ABG property included four exploration licences and was strategically located on the Senegal Mali shear zone, which hosted established gold deposits including Barrick's Loulo-Gounkoto complex

"Acquiring the ABG Mali properties is a small but meaningful step for Galiano," CEO Greg McCunn said.

"We believe that the properties have a lot of promise including several attractive intercepts from previous drilling.

"Including Asumura, we now have two greenfield projects, both of which are located in prospective geological regions."

He said a review of historical work at ABG Mali was underway, with soil sampling and geophysical surveys planned ahead of drill targeting scheduled for 2022.

Galiano had started exploration last week at Asumura in Ghana, saying it hadn't received much attention in recent years while the company focused on operating Asanko.

"This year, we are excited to begin field work to explore this opportunity to create value for Galiano shareholders through exploration," McCunn said last week.

Asanko, a 50:50 joint venture with Gold Fields, produced 249,904 ounces of gold in 2020 and is expected to deliver 225,000-245,000oz this year.

Shares in Galiano (TSX: GAU), which changed name from Asanko Gold last year, are trading near the middle of a one-year range and closed up 7.3% yesterday to C$1.695 to value it at $380 million (US$309 million).

Barrick closed up 4.2% to $27.30 and is capitalised about $49 billion (US$40 billion).

A growing series of reports, each focused on a key discussion point for the farming sector, brought to you by the Kondinin team.

A growing series of reports, each focused on a key discussion point for the farming sector, brought to you by the Kondinin team.

editions

Mining Journal Intelligence Project Pipeline Handbook 2024

View our 50 top mining projects, handpicked using a unique, objective selection process from a database of 450+ global assets.

editions

Mining Journal Intelligence Investor Sentiment Report 2024

Survey revealing the plans, priorities, and preferences of 120+ mining investors and their expectations for the sector in 2024.

editions

Mining Journal Intelligence Mining Equities Report 2023

Access an exclusive, inside look on the quarterly mining IPOs and secondary raisings data and mining equities performance tables with an annual Stock Exchange Comparisons supplement.

editions

Mining Journal Intelligence World Risk Report 2023 (feat. MineHutte ratings)

A detailed analysis of mining investment risks across 121 jurisdictions globally, built on 11 ‘hard risk’ metrics and an industrywide survey.