Published: September 9, 2024 |

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G Mining Ventures Corp. (GMIN) has entered into a purchase and sale agreement to acquire tenements in the Gurupi Gold Belt from wholly-owned subsidiaries of BHP Group Limited. This includes the CentroGold Project.

In consideration for the acquisition, GMIN will grant BHP a 1 percent NSR royalty on the first one million ounces of gold produced at the tenements and a 1.5 percent NSR royalty on gold production thereafter.

“We are excited to acquire another prospective project and begin to grow into the multi-asset growth company we always envisioned to become. CentroGold boasts an attractive starting resource base on a large land package that covers ~1,900 km with significant exploration upside, located within a proven geological belt,” said Louis-Pierre Gignac, president and chief executive officer.

“This acquisition rounds out a high-quality portfolio of gold assets, which includes a producing mine in Tocantinzinho, a development project in Oko West, and a high-potential exploration project in CentroGold,” added Gignac.

“The acquisition of CentroGold perfectly aligns with our strategy of acquiring high-quality, undervalued assets that GMIN is uniquely qualified to unlock. 2024 has been a transformational year for GMIN, headlined by two acquisitions that have grown our gold resource base from 2.1 million ounces measured and indicated to 8.1 million ounces, and from 50 thousand inferred to 2.2 million ounces, creating an exciting pipeline of near-term and longer-dated growth projects,” said Dušan Petković, senior vice president, Corporate Strategy.

“Looking forward, we are excited to demonstrate and realize our asset base’s immense potential,” added Petković.

CentroGold is in the state of Maranhão, located in northern Brazil, and comprises 47 tenements encompassing ~1,900 square kilometers. The project hosts multiple identified gold targets along a +80 km mineralized trend, including the Blanket, Contact, and Chega Tudo open pit deposits. The pre-feasibility study envisioned a 10-year mine life with an average annual gold production of 100,000 to 120,000 ounces per year, with 190,000 to 210,000 ounces of gold per year in the first two years of production.

GMIN views the project as an advanced-stage exploration asset with extensive exploration and engineering work completed to date, which includes more than 135,000 meters of exploration core drilling. The project’s size, scope, and development timeline will be redesigned to suit GMIN’s long-term growth plans. GMIN intends to build on CentroGold’s existing geologic model and redesign the project from first principles to better fit today’s new permitting requirements and economic environment.

Shortly after the transaction’s closing, GMIN plans to update the JORC-compliant gold resource to meet National Instrument 43-101 – standards of disclosure for mineral projects.

The current corporate priorities that will take precedence are ramping up the Tocantinzinho Gold Mine in Brazil to nameplate capacity and advancing the Oko West Gold Project in Guyana toward a construction decision in H2-25.

The transaction is expected to close in Q1-25 and is subject to customary closing conditions, including BHP receiving the appropriate approvals from the Vietnamese and Brazilian Competition bodies.

G Mining Ventures is a mining company engaged in the acquisition, exploration, and development of precious metal projects to capitalize on the value uplift from successful mine development. GMIN is well-positioned to grow into the next mid-tier precious metals producer by leveraging strong access to capital and proven development expertise. GMIN is currently anchored by the Tocantinzinho Gold Project in Brazil and Oko West Project in Guyana, both mining friendly and prospective jurisdictions.

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