The company said in a statement to the ASX on Tuesday that it had struck a deal to acquire Hecla Quebec – a subsidiary of the Hecla Mining Company – which would secure its ownership of the gold mine and surrounding exploration properties, all of which were located in Quebec.

Payment in cash and shares

Orezone will pay $352 million upfront and on a deferred basis, and there could also be a further $241 million in contingency payments.

The company explained further:

The upfront and deferred Consideration consists of $160 million in cash and $112 million in Orezone common shares representing 9.9% of the pro forma issued and outstanding shares of Orezone, both payable upon closing of the transaction, and $80 million of deferred consideration in two cash instalments payable at 18 months and 30 months following the closing of the transaction. The contingent consideration consists of $10M million linked to gold prices, and $231 million based on permitting and future gold production from the proposed Principal and WMCP open pits of Casa Berardi.

The company said the transaction represented an "inflection point … as it adds a proven, cash-flow-generating asset to our portfolio, and provides asset diversification in a Tier 1 Jurisdiction''.

Orezone Chief Executive Officer Patrick Downey said it was a major milestone for the company.

The combination of Casa Berardi and Bomboré creates a multi-asset platform with strong production and free cash flow, positioning Orezone for near-term growth and long-term value creation. Casa Berardi's established operating history, robust resource and reserve base, and substantial exploration upside across a 37km mineralized corridor, provide a foundation for sustained growth. Consistent with recent acquisitions of non-core Canadian operating mines, we believe this transaction represents a defining milestone that will generate meaningful value for all shareholders.

Strong track record

Orezone said the Casa Berardi mine had produced more than 3.2 million ounces of gold since 1988 and had a strong history of resource replacement over that period.

The production guidance for 2026 is for 83,000 to 91,000 ounces of gold, while for the past five years, the mine has averaged 106,100 ounces per annum.

Orezone shares traded as high as $3.15 on the news, up 23%, before settling back to be 14.1% higher at $2.92.

The company was valued at $1.53 billion at the close of trade on Friday.

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