Orizon Gold Company (Raw-TSX,ORZKV-OTCCQXORE-ASX) has completed the previously announced purchase of the Casa Berardi gold mine in Quebec Hekla Mining Company (Do-NYSE).
As part of the closing terms of the transaction, Hecla received $160 million in cash and approximately 65.8 million common shares of Orezone, while reserving the right to receive up to an additional $321 million of deferred and contingent cash payments.
Hecla Mining is the largest producer of silver in the United States and Canada. In addition to operating mines in Alaska and Idaho, the company is ramping up a mine in the Yukon and has a number of advance exploration and development projects in world-class silver and gold mining areas throughout North America.
Orezone shares were largely unchanged following the news, rising 0.45%, or $0.01, to $2.22. Shares are trading in a 52-week range of $2.98 and 75 cents.
Meanwhile, in addition to closing the Casa Berardi acquisition, Orezone announced its operating and financial results for the fourth quarter and year ending December 31, 2025 as well as guidance for 2026.
Orezone Gold is an emerging intermediate gold producer with operations in Canada and West Africa. The newly acquired Casa Berardi mine in Quebec has produced more than 3.2 million ounces of gold to date. The company’s Bombor mine in West Africa is expected to produce between 160,000 and 180,000 ounces this year, an increase of between 45% and 64% compared to production levels in 2025. The higher gold production is due to a full year of hard rock operations with gold production tipped towards the second half of 2026 from expected improvements in hard rock grades and plant productivity.
Orezone’s 2026 production guidance excludes any numbers from the Casa Berardi mine acquisition. The company said it intends to update its guidance in the second quarter of 2026 to include planned production, costs and capital expenditures for Casa Berardi in the 2026 post-acquisition period.
“2025 represents another significant year for Orezone, with the successful commissioning of a hard rock expansion at our Bombur mine achieving commercial production shortly after the end of the year,” said Patrick Downie, President and CEO of Orezone. “The expanded Bombur mine will deliver significant increases in gold production in 2026 from processing hard rock reserves, which is expected to contribute to strong free cash flow and mine earnings.”
The company reported fourth-quarter production of 30,407 ounces of gold, with 2,687 ounces attributed to hard rock production. All-in costs in the fourth quarter were US$1,942 per ounce.
Bombor is located 85 kilometers east of the capital, Ouagadougou, and is accessible via a paved international highway.
The project hosts a large oxide source anchored by a larger open sulphide source, and the plan was to develop the site in two phases to reduce project costs. Bombur has achieved its first gold casting scheduled for the third quarter of 2022.
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