Renaissance Gold Inc (CVE:REN) (OTCQB:RNSGF) and Evrim Resources Corp (CVE:EVM) have finalized their merger to create a new royalty firm with precious metals assets in Mexico and Nevada.
The newly-formed company will be known as Orogen Royalties Inc and trade on the TSX Venture Exchange under the symbol OGN.
In a statement, Orogen told shareholders that its mission is to create and acquire precious metal royalties through its prospect generator model and established network in the mining industry.
READ: Renaissance Gold gets green light from shareholders for merger with Evrim
The firm’s key assets include a 2% net smelter return (NSR) royalty on the Ermitaño West gold-silver deposit in Sonora, Mexico, where production by First Majestic Silver is expected to start in 2021, and a 1% NSR on the Silicon gold project in Nevada, which is being advanced by AngloGold Ashanti.
Under the term sheet, each Renaissance share was exchanged for 1.2448 Evrim shares, which results in Renaissance and Evrim shareholders each holding 50% of the issued and outstanding shares of Orogen. In addition, each Renaissance warrant and option will become exercisable for Orogen common shares, as adjusted in accordance with the exchange ratio.
Renaissance director (and former CEO) Robert Felder and director Tim Janke have joined Orogen’s board, while Paddy Nicol and John Thompson resigned as directors. Paddy Nicol will take the reins as CEO of Orogen while Robert Felder will join as senior vice president.
Orogen shares are expected to start trading on the TSX Venture Exchange on August 20.
Contact Angela at angela@proactiveinvestors.com
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