Torex acquires Los Reyes Project through Prime Mining deal

Torex Gold Resources Inc. has announced a definitive agreement to acquire Prime Mining Corp. in an all-share transaction valued at approximately $327 million. This move hands Torex full ownership of Prime’s flagship Los Reyes gold-silver project in Mexico. This acquisition significantly enhances Torex’s asset base in a country where it already holds a strong operational track record and deep local expertise. Located in Sinaloa, Los Reyes adds 1.5 Moz gold and 54 Moz silver (Indicated) and expands Torex’s total Measured & Indicated gold resources by 32%.

Deal significent

Jody Kuzenko, President & CEO of Torex has explained the importance of this deal: “The Los Reyes Project represents a unique opportunity for the Torex team to develop a high-quality asset with the potential for a high margin, low capital, and long-life operation in a jurisdiction that we know very well (…) Our extensive due diligence reinforced the scarcity of an asset of this quality, and we look forward to demonstrating the significant value we see in this exciting project.”

This deal builds on Torex’s recent momentum, including the near-completion of its $1B Media Luna mine, which entered commercial production in May 2025. By acquiring both Prime Mining and Reyna Silver (announced in June), Torex is executing on its strategy to become a diversified, Americas-focused precious metals producer with a balanced portfolio across exploration, development, and production stages.

Deal highlights

The exchange ratio is 0.060 Torex shares per Prime Mining share. The prime shareholders will own approximately 10.7% of Torex. The closing timeline is expected in the second half 2025, pending regulatory approvals.

Strategic benefits

Acquire mine adds a high-grade, multi-million-ounce gold-silver asset to the company’s portfolio. Moreover, it strengthens the growth pipeline alongside the Media Luna and Morelos Complex and leverages Torex’s in-country team to fast-track Los Reyes development. Moreover, it expands Torex’s silver exposure with 75.6 Moz across Indicated and Inferred.

Scott Hicks, CEO of Prime Mining, emphasized the alignment: “The addition of Prime Mining’s high-quality Los Reyes Project to the Torex pipeline as its next development asset presents both Prime Mining and Torex shareholders with substantial value enhancement through this share-based acquisition.”

Shareholder endorsement

Pierre Lassonde, a key Prime Mining shareholder, voiced his support: “The Morelos Complex is a world class asset that, combined with our high-grade Los Reyes gold-silver deposit, will deliver outsized shareholder returns. I would like to thank Scott, Murray, and the team at Prime Mining for advancing the high-grade, gold-silver system at Los Reyes, and I look forward to working with Jody, Rick, and the team at Torex as we aim to do our part in building a new high-margin, intermediate gold producer.”

This acquisition solidifies Torex’s leadership in Mexican mining.