The offer comprises one Westgold share for every one Aragon share, and represents a 35.4% premium to Aragon’s closing price on 4 February 2011.
The mid-tier mining house will have combined resources of 3.0Moz gold-equivalent and an annual production potential of 200,000oz gold-equivalent.
The consolidated company will have a pro-forma market capitalization of $135m based on a total share capital of 414 million shares and the closing WGR share price on 4 February 2011 of $0.325.
The offer is aimed at creating a gold-focussed and growth-orientated company based on the development of two major mining centres, Rover at Tennant Creek in the Northern Territory and the Central Murchison Gold Project in Western Australia, filling a growing gap on the Australian share market, the company said.
