G2 Goldfields Preps Strategic Split & Asset Sale

• G2 Goldfields is exploring high-grade gold deposits in Guyana, a region attracting significant mining investment
• The company plans to spin out assets into a new entity called G3 and sell the remaining G2 assets
• An updated resource estimate is expected in Q1 2025 after 58,000m of additional drilling
• G2 is not planning to develop mines itself, but rather sell the G2 project and continue exploring with G3
• Major companies like AngloGold have invested in G2, owning 15% of the stock

G2 Goldfields is a high-grade gold exploration company working in Guyana. The company's flagship Oko project has rapidly advanced since the initial discovery in 2019, with two resource estimates already complete and a third expected in Q1 2025 after extensive additional drilling. G2 is strategically positioning itself for a potential sale of the G2 assets while spinning out other regional exploration targets into a new entity called G3.

Guyana: A Premier Mining Jurisdiction 

Guyana has emerged as a highly attractive mining jurisdiction, with the government providing strong support and efficient permitting for the industry. CEO Dan Noone commented:

"Permitting is very quick and the government's very responsive to the mining industry as a whole. It really is a destination where the major players are happy to invest in long-term projects."

The country has seen a surge of interest and investment from major mining companies in recent years. Noone noted:

"It's certainly become a destination for investment, based a lot on the Exxon discovery of oil down there which has made Guyana very high profile with American investors."

Interview with Chief Executive Officer, Dan Noone

High-Grade Discoveries & Expanding Resources 

G2 Goldfields has made multiple high-grade gold discoveries at its Oko project since 2019. The company has already published two resource estimates, the most recent comprising over 2 million ounces. Importantly, G2 has completed an additional 58,000m of drilling since the last resource and is planning an updated estimate in Q1 2025. Noone stated:

"We put out two resources to date on the deposit. The last one was over 2 million ounces. Since then we've drilled another 58,000m and we are planning an updated MRE in Q1 of 2025."

Strategic Asset Sale & Spin-Out 

G2 has been clear about its strategy to explore and de-risk gold projects to the point of sale, rather than becoming a mine developer and operator itself. The company is actively preparing its key G2 assets for a potential sale.

Concurrently, G2 is planning to spin out a portfolio of other regional exploration assets into a new public company called G3 Goldfields. Current G2 shareholders will receive shares of G3 on a 1:2 ratio, positioning them to participate in value creation from both the G2 sale process and ongoing exploration under the G3 entity.

Major Miners Investing in G2 

The potential of G2's assets and the wider Guyana opportunity has attracted investment from major gold mining companies. In a strong show of support, AngloGold Ashanti has taken a 15% ownership stake in G2.

"Even last year, AngloGold came in and invested in us, so they actually now own 15% of our stock. We're starting to get the major players coming into Guyana."

This investment by a senior gold miner is a strong validation of G2's assets and strategy.

Preparing for a Potential Sale 

With the G2 sale process in mind, the company is taking key steps to prepare its assets. Priorities include converting claims to prospecting licenses in the name of G2's local subsidiary and publishing the updated Q1 2025 resource estimate.

"When [the licenses] are actually completed, for anyone to transact or for us to transact, that would need to be the case. We'd like to think we'd have an updated MRE in time for that."

The company has already completed a year of environmental baseline studies to facilitate permitting for an eventual buyer.

Exciting Exploration Pipeline with G3 

While the G2 assets are being packaged for sale, the company continues to aggressively explore the regional potential to be spun out into G3 Goldfields. G3 will hold around 44,000 acres of property to the north of the key G2 project areas, including the Peters, and Aremu historic mine properties. Discussing the spin-out to G3, Noone said:

"We're basically getting G2 tidied up as something which we'd like to sell, and G3 will continue on with exploration."

G2 plans to provision G3 with $5 to $10 million in cash to fund one to two years of work, elaborating:

"For us, that too is the purpose of the spin-out - to release the value and not just to put it out there and dilute it immediately."

The Investment Thesis for G2 Goldfields

• Exposure to a multi-million ounce high-grade gold discovery with an updated resource imminent
• Strategic positioning for a potential near-term asset sale to crystallize value for shareholders
• Spin-out of regional exploration assets into G3 enables participation in district-scale upside
• Major miners invested, validating asset quality and jurisdiction (AngloGold owns 15%)
• Fully funded to advance key workstreams and maintain strong news flow
• Positioned in Guyana, an increasingly prominent gold jurisdiction attracting major miners

Macro Thematic Analysis 

Guyana has rapidly emerged as a highly attractive mining jurisdiction for gold exploration and development. This growing prominence has been accompanied by a surge of interest and investment from major mining companies evaluating opportunities in the country.

The jurisdiction's attractiveness stems from a combination of geological prospectivity, a supportive government, and clear permitting and regulatory processes.

This favorable operating environment positions Guyana as a premier destination for mining companies globally. The scale of opportunity and industry interest is perhaps best encapsulated by the CEO Dan Noone's remark that:

"It's a very hot area. A lot of people like it and definitely a lot of M&A activity happening in the region."

For investors, this combination of geological potential, government support, and accelerating industry investment makes Guyana a jurisdiction to watch closely. Companies like G2 Goldfields that have established strong land positions and made significant discoveries appear particularly well-positioned to benefit from the Guyana gold rush.