Eldorado and Foran Unite to Form Leading Gold-Copper Producer

Eldorado Gold Corporation and Foran Mining Corporation have announced a significant merger that aims to establish a prominent player in the gold and copper mining sector. The merger, which is poised to create a gold-copper producer of major scale, is expected to generate strong cash flow and expand growth opportunities.

Eldorado and Foran Merger Overview

On February 2, 2026, Eldorado Gold Corporation (TSX: ELD, NYSE: EGO) made public its agreement to acquire Foran Mining Corporation (TSX: FOM, OTCQX: FMCXF). This strategic move will enhance Eldorado’s portfolio, featuring high-quality mining assets and diversified projects in attractive jurisdictions like Canada and Greece.

Financial Details of the Transaction

• Foran shareholders will receive 0.1128 shares of Eldorado and $0.01 in cash for each Foran share.
• The offer provides an 8% premium based on a 20-day volume-weighted average price of Foran shares.
• The total equity value of Foran translates to roughly C$3.8 billion.

Expected Performance and Production Growth

The combined entity is projected to produce around 900,000 gold equivalent ounces by 2027. With an anticipated EBITDA of approximately $2.1 billion and free cash flow of $1.5 billion in the same year, Eldorado aims to use the cash generated to fund future growth initiatives and strengthen its balance sheet.

Asset Diversification and Strategic Importance

This merger is crucial for diversifying Eldorado’s asset base. The portfolio will have an estimated breakdown of 77% gold, 15% copper, and 8% other metals. This diverse mix is strategically located in regions recognized for their mining potential, providing both jurisdictional stability and commodity diversification.

Leadership and Future Outlook

George Burns, CEO of Eldorado, expressed enthusiasm for the merger, highlighting that it reinforces their growth strategies while promoting responsible mining practices. Dan Myerson, the Executive Chairman of Foran, noted that the merger provides the scale needed to capitalize on development opportunities in the McIlvenna Bay project.

Government Support and Economic Impact

The government of Saskatchewan, through Premier Scott Moe, has shown support for the merger. Moe indicated that it reinforces Saskatchewan’s position as a prime location for responsible resource development. The merger is expected to provide substantial benefits, including job creation and long-term economic contributions to Canada.

Regulatory Approvals and Timeline

The completion of the transaction is subject to regulatory approvals, including those from the Toronto Stock Exchange (TSX) and the New York Stock Exchange (NYSE). A court-approved plan of arrangement is anticipated to finalize in the second quarter of 2026.

Conclusion

The merger between Eldorado and Foran represents a significant development in the gold-copper mining sector. With a strong asset portfolio and promising production forecasts, the combined entity is well-positioned to become a leading producer in the industry, while supporting sustainable practices and economic growth in Canada.