NexGold Mining Corp. (TSXV: NEXG) and Signal Gold Inc. (TSX: SGNL) announced a definitive agreement on October 9, 2024, to merge the companies, creating a leading Canadian gold developer. This deal combines NexGold's Goliath Gold Complex Project in Ontario and Signal's Goldboro Gold Project in Nova Scotia, totaling 4.7 million ounces of Measured and Indicated gold resources and 1.3 million ounces of Inferred gold resources. The combined company aims to produce over 200,000 ounces annually from its fully permitted projects by 2025.

The transaction includes a concurrent non-brokered private placement financing of up to C$11.5 million and a proposed debt restructuring involving NexGold's US$6 million and Signal’s US$20.4 million credit facilities. NexGold also plans to secure a new US$12 million facility from Nebari. This merger reduces single-asset risks, enhances financial robustness, and positions the new entity for future growth through drilling and potential corporate expansion.

Legal advisors included DuMoulin Black LLP for NexGold, Cassels Brock & Blackwell LLP for Signal, and Fiore Management & Advisory Corp. as NexGold's advisor. BMO Capital Markets provided a fairness opinion to Signal’s board. The deal is expected to close in December 2024, pending shareholder and regulatory approvals.