Nevada Gold Mines Closes Previously Announced Sale of Royalty Portfolio to Gold Royalty Corp.

Rhea-AI Summary

Nevada Gold Mines has finalized the sale of a royalty portfolio to Gold Royalty Corp for $27.5 million. This transaction was settled through the issuance of 9,393,681 common shares of Gold Royalty to Nevada Gold Mines. Following this deal, Nevada Gold Mines now owns about 6.5% of Gold Royalty's outstanding shares. This move is part of Nevada Gold Mines, which is a joint venture between Barrick Gold Corporation and Newmont, creating a major gold production hub in Nevada.

Positive

• Nevada Gold Mines receives $27.5 million from the sale of royalties.
• Acquisition of 6.5% stake in Gold Royalty enhances investment portfolio.

Negative

• None.

All amounts expressed in US dollars

ELKO, Nev., Sept. 28, 2022 (GLOBE NEWSWIRE) -- Nevada Gold Mines (“NGM” or the “Company”) today announced the closing of its previously announced sale of a portfolio of royalties to Gold Royalty Corp. (“Gold Royalty”) for $27.5 million, satisfied through the issuance by Gold Royalty to NGM of 9,393,681 common shares. NGM currently owns approximately 6.5% of the issued and outstanding shares of Gold Royalty.

About Nevada Gold Mines
Nevada Gold Mines is operated by Barrick Gold Corporation (NYSE:GOLD)(TSX:ABX) and is a joint venture between Barrick (61.5%) and Newmont (38.5%) that combined their significant assets across Nevada in 2019 to create the single largest gold-producing complex in the world.

Enquiries:
Barrick COO North America
Christine Keener
+1 865 209 0781
christine.keener@barrick.com

NGM Executive Managing Director
Greg Walker
+1 702 526 3194
gwalker@nevadagoldmines.com

Barrick Investor and Media Relations
Kathy du Plessis
+44 20 7557 7738
barrick@dpapr.com

Website: www.barrick.com

FAQ

What is the recent transaction between Nevada Gold Mines and Gold Royalty?

Nevada Gold Mines sold a portfolio of royalties to Gold Royalty for $27.5 million, receiving 9,393,681 common shares in return.

What percentage of Gold Royalty does Nevada Gold Mines own now?

After the transaction, Nevada Gold Mines owns approximately 6.5% of the issued and outstanding shares of Gold Royalty.

What is the significance of this sale for Barrick Gold Corporation, which operates Nevada Gold Mines?

The sale enhances Barrick Gold's financial liquidity while diversifying its investment in Gold Royalty.

What does the sale of royalties imply for the financial health of Nevada Gold Mines?

The sale of royalties for $27.5 million can positively impact the financial health and cash flow of Nevada Gold Mines.