Northern Star Resources has completed its previously announced A$5bn ($3.2bn) acquisition of rival Australian gold miner De Grey Mining through a court-approved scheme of arrangement.
All shares of De Grey have been transferred to Northern Star, with eligible shareholders receiving 0.119 new Northern Star shares for each De Grey share held as of 28 April 2025. These new shares are scheduled to begin trading on the Australian Securities Exchange (ASX) from 6 May 2025.
De Grey Mining has applied for removal from the ASX, with its delisting expected after trading concludes on 6 May 2025.
Initially announced in late 2024, this merger will create a combined entity with pro forma mineral resources of 74.9 million ounces and ore reserves of 26.9 million ounces.
Following the transaction, Northern Star shareholders will own approximately 80.1% of the merged entity, while De Grey shareholders will hold a 19.9% stake.
This acquisition grants Northern Star full ownership of the Hemi gold project in Western Australia’s Pilbara region. The Hemi project is expected to become a major gold production site, projected to produce 530,000 ounces annually over its first decade.
Northern Star managing director and CEO Stuart Tonkin said: “On behalf of everyone at Northern Star, I welcome De Grey’s team and its shareholders to our Company. The acquisition of De Grey is strongly aligned with Northern Star’s strategy to generate superior returns for shareholders.
“We believe that Hemi will deliver a low-cost, long-life and large-scale gold mine in the tier-1 jurisdiction of Western Australia, further enhancing the quality of our asset portfolio and ability to generate cash earnings.
“The Northern Star team looks forward to integrating Hemi into our portfolio and building strong relationships with the Kariyarra people, other Traditional Owners in the Hemi project area and additional Hemi project stakeholders.”
