Australia’s Karora and Westgold to create 400koz gold producer

Westgold and Karora Resources announced last week that the two companies are merging.

Westgold will buy Karora in a share and cash deal. Total deal size is A$1.23 billion ($808.36 million), according to statistics.

The new company will be a +400,000 oz mid-tier gold producer. Both operate mines in Western Australia.

The company will have a combined 13Moz mineral resource and 3.2Moz ore reserve. The company is targeting A$490 million in cost savings through the merger. The new company will dual list on the ASX and TSX.