#London #United Kingdom #ACG Metals #Blue Moon Norway #Nussir Copper Mine

ACG Metals to Acquire Blue Moon Norway

ACG Metals Limited has taken bold steps in the copper industry by announcing the acquisition of 100% of Blue Moon Norway AS from Blue Moon Metals Inc. This transaction, valued at US$220 million, comprises the purchase of a significant 94.52% stake in the construction-stage Nussir Copper Mine, alongside other regional mining interests. This acquisition aims to position ACG Metals as a leading player in European copper production, leveraging extensive growth potential.

Details of the Acquisition

The acquisition not only encompasses the copper mine but also pairs ACG's existing assets, notably the Gediktepe project in Türkiye, which is slated to reach peak production capacity in 2027. The Nussir mine, currently under construction, is anticipated to yield its first copper concentrate by the first half of 2028. The strategic combination of both projects could see total production exceed 50,000 tonnes annually, thereby consolidating ACG’s foothold in supply chains across Europe and beyond.

Significant Growth Prospects

With all requisite permits secured for Nussir, the mine is classified under the EU's Critical Raw Materials Act, receiving backing from the Norwegian government. The construction aims for a robust output of approximately 18,400 tonnes of copper-equivalent each year from 2029 to 2033. Notably, exploratory activities may unveil further organic growth opportunities in the region, supplemented by brownfield developments at Ulveryggen and Sulitjelma.

Furthermore, ACG’s CEO Artem Volynets has expressed optimism about this merger. He highlighted that the merging of these two productive assets is transformative, establishing ACG as a competitive European copper champion with industry-leading cash flow margins. Volynets signified that the approach towards the Gediktepe operations would be replicated at Nussir, heralding a new era of value creation and job opportunities.

Strategic Execution and Implementation

The completion of this acquisition requires several conditions, including ACG shareholder approval and regulatory green lights. Anticipated closing is set for 30 November 2026, with the expectation of immediate NAV per share accretion following this deal. Approximately 8.85 million consideration shares will be issued, translating to around 27.6% of ACG's expanded issued ordinary share capital. The incorporation of Dr. Karin Thorburn, a reputable finance professor, into ACG's board post-acquisition plans to enhance governance and strategic direction.

ACG looks forward to retaining Blue Moon's existing workforce and fostering local recruitment, all while focusing on building robust relationships within the community alongside environmental sustainability. This initiative aims to galvanize support from the regional populace and stakeholders as operations kick off.

Future Endeavors and Capital Market Development

To expand its market presence, ACG is targeting an additional North American listing within a year of the acquisition's completion, alongside a transition to eligibility for the FTSE UK Index Series. This strategic initiative signifies ACG's commitment to establishing a broader investor base and improving trading liquidity.

With projects continuing in diversified jurisdictions, ACG Metals is poised to increase copper output while still reaping ancillary benefits from gold, silver, and zinc operations. The future looks promising as ACG navigates through this merger, aggregating its resources and refining operational strategies for maximum output and shareholder value. Investors can expect comprehensive updates on various fronts as plans unfold for this major acquisition venture.