Evolution Mining (ASX:EVN) has struck a deal to buy Carnaby Resources (ASX:CNB) in a scrip transaction valued at roughly $213 million, adding the Greater Duchess Copper-Gold Project to its portfolio.
Carnaby shareholders will receive 0.0682 Evolution shares for each share they hold, equating to an offer price of $0.77 per Carnaby share.
That represents a 60.4% premium to Carnaby’s last closing price of $0.48 and a 31.4% premium to its 30-day average.
Greater Duchess sits near Evolution’s Ernest Henry Operations in Queensland’s Cloncurry region.
It holds a mineral resource of 29.2 million tonnes (Mt) @ 1.3% copper (Cu) and 0.2 grams per tonne gold (Au), plus an ore reserve of 8.4Mt @ 1.7% Cu and 0.3g/t Au.
Evolution sees the project as a way to boost copper output by roughly 10,000 tonnes per year using Ernest Henry’s existing infrastructure and spare mill capacity.
The Carnaby board has unanimously backed the deal, with its directors intending to vote their 7.3% stake in favour. Existing tolling and offtake arrangements between Carnaby and Glencore will be terminated to allow integration.
Evolution CEO Lawrie Conway says the acquisition strengthens its presence in the Cloncurry region.
“The close proximity of Greater Duchess provides an opportunity to increase copper production at Ernest Henry, utilising latent mill capacity and existing infrastructure,” Conway adds.
“The combination of Ernest Henry’s Bert project and Greater Duchess enhances our ability to continue to maximise production and growth at Ernest Henry.”
Evolution plans to complete an updated Feasibility Study for Greater Duchess within 12–18 months, integrating it into Ernest Henry’s mine plan.
The deal still needs shareholder approval, regulatory clearance, including ACCC merger clearance, and Court approval. It is expected to close in mid-November 2026.
Evolution Mining is a gold and copper producer operating six mines across Australia and Canada, including Cowal, Ernest Henry, Mt Rawdon, Mungari, Red Lake, and an 80% stake in Northparkes.
Write to JC Villarba at Mining.com.au
Images: Evolution Mining
