New Gold has acquired 86 per cent of the outstanding shares of Rainy River Resources in its takeover of the northwestern Ontario gold project.
In a July 25 release, New Gold said it has extended its offer to Aug. 8 to give Rainy River shareholders more time to tender.
"We are very pleased that the Rainy River shareholders have overwhelmingly supported our offer and we welcome them as New Gold shareholders," said company executive chairman Randall Oliphant in a statement. “The acquisition of Rainy River further enhances our portfolio through the addition of another exciting gold growth project in Canada. We look forward to continuing our work with the Rainy River team to integrate the project into our pipeline."
The project, located in Richardson Township northwest of Fort Frances, is moving into a mine development phase after a favourable feasibility study was released in April.
With a proven and probably gold reserve of four million ounces and 10.3 million ounces of silver, the $713-million project has entered the environmental permitting phase.
