Torex Gold Resources to acquire Prime Mining Corp.

Torex Gold Resources Inc. and Prime Mining Corp. have entered into a definitive agreement whereby Torex will acquire all of the issued and outstanding common shares of Prime Mining under a plan of arrangement.

 The Transaction will result in Torex owning a 100% interest in Prime Mining’s multi-million ounce Los Reyes gold-silver project. The Los Reyes Project is located in Mexico, a jurisdiction in which Torex has successfully worked since 2010, and built unrivalled local expertise in terms of operational excellence, project development, project permitting, community relations, and stakeholder engagement.

The Los Reyes Project is a highly prospective, advanced exploration/development-stage asset hosting a combined underground and open-pit mineral resource of approximately 1.5 million ounces of gold and 54.0 Moz silver in the Indicated category and 538 thousand ounces of gold and 21.6 Moz silver in the Inferred category.

Upon completion of the Transaction, Torex will issue approximately 10.5 million Torex Shares to Prime Mining shareholders and existing Prime Mining shareholders will own approximately 10.7% of Torex.