Horizon Minerals to create new emerging gold producer through proposed Greenstone merger [Video]

Horizon Minerals Ltd (ASX:HRZ) plans to merge with fellow ASX-listed gold company Greenstone Resources Ltd (ASX:GSR) to create a new emerging producer in the Kalgoorlie-Coolgardie region of Western Australia’s Goldfields.

The combined group would have a global JORC mineral resource of around 1.8 million ounces as well as an enviable exploration holding centred on the gold mining hubs of Kalgoorlie and Coolgardie.

This proposed transaction would bring together complementary assets with both near-term small mining opportunities and larger baseload deposits with potential to develop into long-life cornerstone operations.

To acquire Greenstone

Schemes of arrangement will see Horizon acquire 100% of the fully paid ordinary shares in Greenstone and 100% of the listed Greenstone options.

Each Greenstone shareholder will receive 0.2868 Horizon shares for every Greenstone share held and

each listed option holder will receive 0.2868 new Horizon listed options for every listed Greenstone option held.

Horizon shareholders will own 63.1% of the merged entity while Greenstone shareholders will own the remaining 36.9%.

The schemes are unanimously …