Horizon is to be led by Intermin managing director Jon Price and chairman Peter Bilbe, with MacPhersons' Ashok Parekh and Jeff Williams to be non-exec directors.

Both companies are contributing resources of around 500,000oz, with Intermin being cash-strong and mine development-experienced - on the back of successfully implementing modest toll treating mining ventures over the past couple of years - and Macphersons having approvals in place for a new open put and processing facility at Boorara, 10km east of Kalgoorlie.

A feasibility study is slated to begin once the merger is completed.

According to its proponents, Horizon is expected to have a strong financial position, improved liquidity and increased appeal to a broader investor base.

Both Intermin and MacPhersons have enterprise values of sub-A$30 million and shares that are little moved over the past six months.

The deal will likely be noted by companies such as Bardoc Gold (formerly known as Spitfire Materials), given it's been publicly on the lookout for additional oxide gold mineralisation to boost its proposed refractory Aphrodite development north of Kalgoorlie.

Shares in Intermin were unchanged at 14.5c in morning trade, capitalising it at $34 million.

At the same time, shares in MacPhersons were up 5% to 8.6c, capitalising it at $30 million.