Published: February 26, 2025 | Share This

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Equinox Gold and Calibre Mining have entered into a definitive arrangement agreement where Equinox will acquire all the issued and outstanding common shares of Calibre. The combined company — New Equinox Gold — will continue under the name Equinox Gold Corp.

“This merger represents a transformative step forward for both Equinox and Calibre, bringing together two complementary companies with strong production, growth potential, operational expertise, and a shared commitment to responsible mining,” said Greg Smith, president and chief executive officer of Equinox.

“By combining our assets, teams, and financial strength, we are creating a leading Americas-focused gold producer with enhanced scale, resilience, and the ability to generate significant long-term value for our shareholders and stakeholders,” added Smith.

“The merger with Equinox provides combined shareholders a diversified gold production base with significant growth opportunities. The combination of two new, long-life, low-cost, open-pit gold mines, Valentine and Greenstone, will be the cornerstone of an exciting new major Canadian gold producer that will be positioned to generate substantial shareholder value,” said Darren Hall, president and chief executive officer of Calibre.

“I look forward to working with the combined team to continue Calibre’s track record of superior execution and delivering on our commitments,” added Hall.

The transaction will create an Americas-focused diversified gold producer with a portfolio of operating mines in five countries anchored by two high-quality, long-life, low-cost Canadian gold mines. The Greenstone Mine in Ontario achieved commercial production in November 2024 while the Valentine Gold Mine in Newfoundland and Labrador is nearing construction completion with first gold pour targeted for mid-2025. Collectively, these two cornerstone assets are expected to produce an average of 590,000 ounces of gold per year when operating at capacity. With 100 percent ownership of Greenstone and Valentine, New Equinox Gold will become the second largest gold producer in Canada.

The combined company is expected to produce approximately 950,000 ounces of gold in 2025, not including production from Valentine or Los Filos. New Equinox Gold has the potential to produce more than 1.2 million ounces of gold per year with Greenstone and Valentine operating at capacity. Additionally, the combined company will have a large gold endowment of mineral reserves and mineral resources, and a highly prospective pipeline of development, expansion, and exploration projects for low-risk sustainable growth.

Upon completion of the transaction, existing Equinox shareholders and former Calibre shareholders will own approximately 65 percent and 35 percent of the outstanding common shares of the combined company, respectively, on a fully diluted in-the-money basis. The implied market capitalization of the combined company is estimated at $5.4 billion (C$7.7 billion).

LEADERSHIP AND GOVERNANCE

Upon closing of the transaction, management of the combined operations will include executives from both Equinox and Calibre, with Equinox’s current president and chief executive officer, Greg Smith, remaining as chief executive officer and Calibre’s current president and chief executive officer, Darren Hall, joining management as president and chief operating officer of New Equinox Gold.

The board of directors of the combined company will consist of ten directors, with Ross Beaty as chair, along with five additional directors from Equinox, including Greg Smith, and four directors from Calibre, including Doug Forster and Blayne Johnson.

“Great companies are built on strong foundations and strong teams. The combination of Equinox and Calibre brings together two new Canadian cornerstone gold mines, Greenstone and Valentine, a portfolio of operating gold mines in the Americas, and two excellent operating teams to create a gold mining powerhouse. With improved scale, diversification and financial strength, New Equinox Gold will be well positioned to deliver long-term value to its shareholders. I’m really excited about our future as a great new major gold mining company,” said Ross Beaty, chair of Equinox.

“This merger creates a major gold producer with a solid foundation of two brand-new, high-quality, long-life mines: Greenstone and Valentine. Positioned in Canada’s top gold regions, this combination transforms New Equinox Gold into the country’s second-largest gold producer. With a strong portfolio of highly profitable and prospective assets across the United States, Mexico, Nicaragua, and Brazil, the company is well-positioned for long-term growth and sustained shareholder value creation,” said Blayne Johnson, chair of Calibre.

“Doug and I look forward to continuing as directors and shareholders, working closely with Ross and the combined Equinox-Calibre team to build on Calibre’s strong track record of operational excellence and execution for its shareholders,” added Johnson.

Equinox Gold is a growth-focused Canadian mining company operating entirely in the Americas. The company has six operating gold mines in Canada, the United States, Mexico, and Brazil and a clear path to achieve more than one million ounces of annual gold production from a pipeline of expansion projects.

Calibre Mining is a Canadian-listed, Americas focused, growing mid-tier gold producer with a strong pipeline of development and exploration opportunities across Newfoundland & Labrador in Canada, Nevada and Washington in the USA, and Nicaragua. Calibre is focused on delivering sustainable value for shareholders, local communities, and all stakeholders through responsible operations and a disciplined approach to growth. With a strong balance sheet, a proven management team, strong operating cash flow, accretive development projects and district-scale exploration opportunities Calibre will unlock significant value.

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