The acquisition adds a copper-gold project in Queensland, boosting Evolution’s copper output by 10,000 tonnes annually.
Evolution Mining will acquire Carnaby Resources in a $149m deal, paying A$0.77 per share and issuing 0.0682 Evolution shares for each Carnaby share. The transaction includes the Greater Duchess copper-gold project in Queensland, currently in pre-feasibility stage with 29.2 million tonnes of mineral resources.
Carnaby’s project is expected to increase copper production at Evolution’s Ernest Henry Operations by 10,000 tonnes per year using existing infrastructure. The deal requires shareholder and regulatory approvals, including from the Australian Competition & Consumer Commission, and terminates existing Carnaby-Glencore tolling arrangements.
Post-acquisition, ore from Greater Duchess will be sold to Glencore under Ernest Henry’s offtake terms. Evolution and Glencore also agreed on third-party ore processing at Ernest Henry.