Alkane Resources Ltd (ASX:ALK, OTC:ALKEF) has begun trading its shares on the Toronto Stock Exchange (TSX) following completion of the company’s merger with Mandalay Resources Corporation (TSX: MND, OTCQB: MNDJF), which was finalised on Wednesday. The combined entity now holds a diversified portfolio of gold and antimony-producing assets across Australia and Sweden.
The merger, executed under a statutory plan of arrangement, saw Alkane acquire all of Mandalay's issued and outstanding shares. As part of the transaction, Mandalay shareholders received 7.875 fully paid ordinary Alkane shares for each Mandalay share held.
Following the merger, Mandalay's shares were delisted from the TSX as of August 5, with an application submitted to cease Mandalay’s reporting issuer status under Canadian securities laws.
A more resilient and diversified company
The newly merged Alkane now operates three cash-generating mines: the Tomingley gold mine in New South Wales, the Costerfield gold and antimony operation in Victoria, and the Björkdal gold mine in Sweden. Ongoing near-mine regional exploration continues to grow resources at all three assets.
Alkane also owns the Boda-Kaiser Project in central-west New South Wales, with an economic development pathway outlined for the large gold-copper porphyry project in a scoping study. The company is also advancing exploration in the surrounding Northern Molong Porphyry Project and says it is confident of adding to Australia’s reputation as a significant producer of gold, copper and antimony.
With a projected gold-equivalent output of 160,000 ounces in FY2025 and a forecast rise to more than 180,000 ounces by 2026, Alkane is well-positioned to continue its growth trajectory.
The company also maintains a robust pro forma cash position of A$218 million, providing the financial flexibility to pursue further expansion opportunities.
A new era of growth and market presence
The dual listing on both the ASX and TSX enhances Alkane’s market visibility and liquidity, particularly in North America, a key growth region. Frazer Bourchier, former CEO of Mandalay and now a non-executive director of Alkane, highlighted the strategic advantages of the merger, emphasising the combined company's diversified production base and broader exploration pipeline.
Alkane's leadership team now includes both former Alkane and Mandalay directors, with Nic Earner remaining CEO and Ian Gandel continuing in his role. The retention of former Mandalay executives in key operational positions ensures continuity as the company focuses on maximising shareholder value and capitalising on growth opportunities in the gold, copper, and antimony sectors.