Newmont sells Éléonore mine in Quebec for $795m
The miner said the deal and other 2024 sales will raise $3.6 billion.
George Paspalas, CEO of Aurizon Mines, stirred the rumour pot today, telling The Montreal Gazette the company is being approached by potential buyers.
Earlier this week Aurizon said it tripled its fourth-quarter profit on higher gold prices and sales, to $21.8 million from $7 million in the same period last year. Revenues were up 77% to $85 million.
“Five or six companies have talked to us about merging or getting together somehow,” said CEO George Paspalas Friday. “We keep a pretty well-oiled valuation model handy and we know our real worth.”
He would not identify any of the companies in the talks, but said Aurizon is generating strong cash flow and ideally would like to have two or three mines in operation to reduce the risk of having Casa Berardi as a single producer.
The Vancouver-based company (TSX:ARZ), whose principal asset is the Casa Berdi gold mine in Quebec, said it is projecting 155-160,000 ounces of gold in 2012, at cash costs of $600/oz. That is less than the 163,845 ounces produced in 2011, a record year for Aurizon, up 16% from 2010.
Aurizon has 11 properties in Quebec including Casa Berdi and Joanna, which is in the feasiblity stage.
The company’s stock rose 3.6% today on the TSX after losing 2% yesterday.
