G Mining Ventures Corp (TSX:GMIN, OTCQX:GMINF, FRA:W97) has announced a definitive agreement to acquire G2 Goldfields Inc (TSX-V:GTWO, OTCQX:GUYGF) in a transaction that would combine two adjacent gold projects in Guyana and create a large-scale mining operation in the region.
The deal would bring together G Mining Ventures’ Oko West project and G2 Goldfields’ Oko-Ghanie project into a single, consolidated asset.
The combined operation is expected to produce more than 500,000 ounces of gold annually on average over the life of the mine, based on current estimates from both projects.
Under the terms of the agreement, shareholders of G2 Goldfields will receive 0.212 common shares of G Mining Ventures for each share held.
The implied offer price is approximately C$10.84 per share, representing a premium of about 72% based on recent trading averages.
The total equity value of the transaction is estimated at roughly C$3 billion.
In addition to shares in the combined company, G2 shareholders will receive shares in a newly formed exploration company, referred to as G3 SpinCo, which will hold certain non-core assets including the Tiger Creek and Peters Mine properties.
G3 SpinCo is expected to be funded with C$45 million and will include a contingent value right that could provide up to US$200 million in future payments tied to resource discoveries above specified thresholds over a 10-year period.
The transaction is intended to consolidate land holdings in Guyana into a contiguous package of more than 360 square kilometres, with combined measured and indicated mineral resources of approximately 7 million ounces of gold.
The integration is expected to generate more than C$1 billion in synergies through shared infrastructure, reduced capital and operating costs, and optimized mine planning and permitting.
G Mining Ventures said the combined project could significantly expand its production profile, with company-wide output projected to increase from 160,000 ounces to 190,000 ounces in 2026 to more than 700,000 ounces annually, excluding potential contributions from other assets. The company also stated that the transaction is expected to be accretive to net asset value per share due to anticipated efficiencies.
For G2 shareholders, the deal provides continued exposure to the combined Oko project through an approximately 19.9% ownership stake in the enlarged company, along with participation in potential operational and exploration upside. The structure is also intended to reduce execution and funding risks by leveraging G Mining Ventures’ balance sheet, which includes cash on hand, free cash flow from its Tocantinzinho mine in Brazil, and access to credit facilities.
The companies said the integration of the Oko-Ghanie Project with the fully permitted Oko West Project could streamline the permitting process and reduce development timelines.
First production at Oko West remains targeted for the second half of 2027, with further technical studies on the combined operation expected to be completed by 2027 and potential expansion by 2029.
“Combining GMIN’s Oko West Project and G2’s Oko-Ghanie Project delivers on our stated vision to build and operate a large, long-life, Tier-1 asset in Guyana,” G Mining CEO Louis-Pierre Gignac said in a statement.
“These assets are highly synergistic, and we are well-positioned to accelerate value creation by leveraging our unique expertise in building and operating mines on schedule and on budget in the Guiana Shield, utilizing our deep knowledge of and network in the region to advancing permitting, and deploying our capital to build the mine.
Dan Noone, G2 CEO, described the deal as a great outcome for the country of Guyana, “with the combined Oko Project being taken forward by a company that will be a great steward of the asset for the benefit of the country and its communities.”
“Following closing, the G2 team is expected to continue advancing its exploration efforts through G3, leveraging our exploration expertise and proven track record of discovery to unlock additional value in Guyana,” Noone said.
The transaction will be carried out through a court-approved plan of arrangement and requires approval from at least two-thirds of the votes cast by G2 shareholders at a special meeting. The companies expect the deal to close in the second quarter of 2026.