Tucano Gold to make historic acquisition in Brazil, poised to reshape gold industry by 2024

Tucano Gold Inc has announced its strategic acquisition of Mina Tucano Ltda and Tucano Resources Mineração Ltda. Each share acquisition, at a consideration of BRL1.00, aligns with a proposed payment plan set to breathe life back into Mina Tucano’s operations by Q4´23. This resurgence is projected to bolster Mina Tucano’s stature as the predominant employer in Amapá, Brazil.

Previously owned by Great Panther Mining Ltd since 2019, Mina Tucano boasts an unblemished interest in the Tucano gold mine. This expansive mine, spread across 1,973 square kilometers, is located in the mineral-rich Vila Nova Greenstone Belt of the Guyana Shield. Notably, since its inception in 2005, the mine, equipped with an advanced 3.5 Mtpa CIL plant, has produced a staggering 1.5 million ounces.

An updated 43-101 report, published by Great Panther on June 8, 2022, showcases Proven and Probable Reserves clocking in at 12.9Mt at 1.59 g/t, totaling 656,000 ounces. Furthermore, its M,I &I Resource stands at an impressive 1.8 million ounces, hinting at vast expansion potential.

With the robust leadership of Mina Tucano spearheaded by Julio Carneiro and Joter Siqueria, Tucano Gold Inc is geared up to recommence operations by Q4. Anticipations are high with projections hinting at Mina Tucano’s annual production potentially reaching 100,000 ounces in the foreseeable future.

Tucano Gold to acquire Mina Tucano, owner of the Tucano gold mine in Brazil. Photo courtesy of PRNewswire/Tucano.

The merger is a testament to Tucano Gold’s unparalleled industry expertise, with prior successful endeavors like Pilar Gold Inc and Laiva Gold Inc under its belt. With access to superior funding sources and shared technical know-how, the company is on a trajectory to achieve a combined annual production of 300,000 ounces from Tucano Gold, Laiva Gold, and Pilar Gold by 2025.

Reflecting its rising industry prominence, Tucano Gold has garnered substantial interest for its seed financing round, offering a golden opportunity for investors to stake a claim at a fraction of the current replacement cost of such a premium complex. Banking on the anticipated gold market surge in 2024, this move echoes Laiva Gold’s acquisition of Europe’s paramount gold mill in Finland earlier this year.

Investors diving into Tucano Gold’s seed round stand to gain an added perk – a complimentary share in the highly anticipated Tucano Gold Exploration Inc launching in Q1´24. This new venture is poised to command one of the largest and most sought-after tenements on the Guyana Shield.

With a commendable legacy of delivering substantial shareholder returns since Pilar Gold’s seed round in January 2021, Tucano Gold is optimistic about replicating its success. As production scales up, Mina Tucano is set to herald a new era of prosperity for all stakeholders involved.