Alkane Resources Finalises Mandalay Merger, Establishes Dual-Listed Operations

• Merger completed - Alkane acquired all Mandalay shares at exchange ratio of 7.875 Alkane shares per Mandalay share 
• Dual listing status - Company maintains ASX listing and received conditional TSX approval for trading from August 8, 2025 
• Production scale - Combined operations produce 160,000 AuEq ounces (FY2025), projected 180,000 AuEq ounces in 2026 
• Cash position - Pro forma cash of A$218 million as at June 30, 2025 
• Asset portfolio - Three operating sites: Costerfield (Victoria), Tomingley (NSW), and Björkdal (Sweden)

Alkane Resources Limited (ASX:ALK) is an Australian gold and antimony producer and explorer that owns and operates the Tomingley gold mine in New South Wales, Australia. The company is headquartered in Perth, Western Australia, and holds gold and copper exploration tenements in Central West NSW.

The company focuses on gold exploration, development and production activities. Alkane's primary asset is the Tomingley operation, which includes both open pit and underground mining components located southwest of Dubbo.

Completion of the Merger and Share Exchange Terms

The merger closed with Mandalay shareholders receiving 7.875 Alkane shares for each Mandalay share held. All outstanding Mandalay common shares were acquired under this arrangement. The combined entity continues operating under the Alkane Resources Limited name.

The transaction structure maintains existing Alkane shareholders' positions whilst incorporating Mandalay shareholders into the enlarged company. The exchange ratio was established through negotiations between both parties and their respective boards.

The completion eliminates the execution risk associated with the proposed transaction. Alkane now holds the combined assets of both companies across three operational sites in two countries.

Post-Merger Structure and Dual Listing

Alkane Resources Limited remains listed on the ASX under ticker "ALK" and maintains its Perth headquarters. The Toronto Stock Exchange granted conditional approval for Alkane shares to trade on the TSX under the same ticker symbol, subject to completing standard listing requirements.

TSX trading is expected to commence on or about August 8, 2025. The dual listing provides the company with access to both Australian and Canadian equity markets. Trading liquidity may increase due to the expanded investor base.

Managing Director and CEO Nic Earner stated: "This merger represents a significant step forward for both companies. By combining our complementary portfolios, we have created a stronger, more resilient platform with the scale and financial flexibility to pursue long-term growth."

Scale and Financial Position of the Combined Company

The merged entity reports production of 160,000 gold equivalent ounces for financial year 2025, with guidance of over 180,000 gold equivalent ounces in 2026. This production comes from three operating assets across Australia and Sweden.

Pro forma cash holdings total A$218 million as at June 30, 2025. This cash position provides funding capacity for operational requirements and development activities across the combined asset base.

Former Mandalay President and CEO Frazer Bourchier, now an Alkane non-executive director, commented:

"We are proud to have successfully completed this transaction. With a diversified production base, broader exploration pipeline, and enhanced trading liquidity, the combined company is well positioned for a market re-rating."

Next Steps

The company will integrate operational teams across the Costerfield, Tomingley, and Björkdal sites under the unified management structure. The board has appointed Andy Quinn as independent Chair, with the combined management team led by Nic Earner as Managing Director and CEO.

Former Mandalay executives Ryan Austerberry and Chris Davis have joined as Chief Operating Officer and VP Exploration respectively for the Mandalay assets. Operational focus will centre on maintaining production targets of over 180,000 gold equivalent ounces for 2026 whilst evaluating organic growth opportunities across all three sites.

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