Triple Flag to acquire Orogen Royalties for $305M

Staff Writer | April 22, 2025 | 10:35 am Markets Canada USA Gold

The Expanded Silicon gold project in Nevada (Image: Orogen)

Triple Flag Precious Metals (TSX: TFPM, NYSE: TFPM) has entered an agreement to acquire Orogen Royalties (TSXV: OGN) in a transaction valued at approximately C$421 million ($305 million).

The acquisition will give Triple Flag access to a 1.0% net smelter return (NSR) royalty on the Expanded Silicon gold project in Nevada.

Shares of Orogen rose 28% Tuesday morning in Toronto, bringing the company’s market capitalization to C$373 million ($270 million).

Flagship Nevada asset

The Expanded Silicon project, fully owned by AngloGold Ashanti (NYSE: AU), is located in the Beatty district of Nevada and includes the Merlin and Silicon deposits. The royalty covers a 74 km² area of interest and comes with no caps, step-downs or buydown provisions.

AngloGold began drilling at the site in 2018. Since then, the resource has expanded significantly.

As of December 31, 2024, the Merlin deposit contained an inferred resource of 355 million tonnes grading 1.06 g/t gold, totaling 12.1 million oz. The Silicon deposit has 121 million tonnes grading 0.87 g/t gold in the indicated category, plus 36 million tonnes grading 0.70 g/t in the inferred category.

A total of 430 km have been drilled at Expanded Silicon to date, including 132 km at Merlin in 2024.

AngloGold has described the project as the largest new gold discovery by resource in the US in more than a decade, with potential for heap leach and milling processing.

Orogen spinout

As part of the deal, a new entity — Orogen Spinco — will be created to hold all of Orogen’s other mineral interests, excluding the Expanded Silicon NSR royalty. Paddy Nicol, current CEO of Orogen, will lead the spinoff.

Triple Flag has also committed to a C$10 million equity investment in Orogen Spinco, securing an approximate 11% interest upon its public debut.

The two companies have also agreed to explore a generative exploration alliance focused on Western United States. Backed by an initial budget of $435,000, the initiative will aim to identify gold and silver targets geologically similar to the Expanded Silicon asset.

The transaction is subject to customary approvals and is expected to close in the third quarter of 2025.