Gold analysts are pointing to substantial levels of pent-up demand for mergers and acquisitions (M&A) activity in the mid-tier and emerging producer space in the coming months, as the world emerges from the pandemic crisis and people can conduct onsite physical due diligence again.
One of the hot picks tipped for acquisition is Orezone Gold (TSXV: ORE, US-OTC: ORZCF) and its Bomboré gold development project in Burkina Faso.
While the major gold producers have largely completed as much consolidation as possible and are now sporting diversified, sustainable production profiles, the producers are looking to fill reserve depletion organically, focusing on brownfields exploration, or picking up single-asset development projects as potentially the likes of Bomboré.
The market has seen several of these strategic tie-ups in recent months, including the acquisition by Newmont (NYSE: NEM; TSX: NGT) of GT Gold and its Tatogga project in British Columbia.
Further afield, we’ve seen majors extract improved efficiencies by acquiring complementary assets, such as Newmont and Barrick Gold (TSX: ABX; NYSE: GOLD) forming a joint venture in Nevada in July 2019 – Nevada Gold Mines – where both miners generate a substantial portion of their production from multiple assets.
For the rest of this article: https://www.mining.com/with-gold-ma-heating-up-could-orezones-bombore-project-be-ripe-for-the-picking/