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B2Gold Corp, (TSX:BTO, NYSE:BTG) a Vancouver-based gold producer, announced on Monday that it acquired all the outstanding shares of Volta Resources Inc. (TSX:VTR) for about US$63 million.
B2Gold Corp, (TSX:BTO, NYSE:BTG) a Vancouver-based gold producer, announced on Monday that it acquired all the outstanding shares of Volta Resources Inc. (TSX:VTR) for about US$63 million.
The $0.42 per share offer price represented an 81 percent premium based on each company’s weighted average share prices on the TSX as of October 25.
According to B2Gold, the acquisition will add an 81 percent interest in the Kiaka gold project in Burkina Faso and a 100 percent interest in two more exploration projects in the African country.
Kiaka is targetting average annual production of 34,000 ounces over a 10-year minelife based on a 2012 prefeasibility study.
As quoted in the press release:
Clive Johnson, President and Chief Executive Officer of B2Gold, stated: “This acquisition significantly enhances our gold leverage with the addition of the Kiaka gold project. Kiaka is a significant, high quality and well defined resource with low technical risk that adds to our portfolio an asset with the potential to contribute meaningfully to B2Gold’s already impressive future production growth profile.
Kevin Bullock, President and Chief Executive Officer of Volta, stated: “In a difficult market where financing of development stage gold companies has become increasingly challenging, we are very pleased to be partnering with an intermediate gold producer that has both the financial and technical capabilities to advance Kiaka for the benefit of Volta shareholders. B2Gold has evaluated Kiaka in depth and has validated our consistent view that Kiaka is truly a robust project with low technical risk.
Click here for the full press release by B2Gold Corp (TSX:BTO, NYSE:BTG) and Volta Resources Inc. (TSX:VTR)