Aussie Alkane adds $2.2B listing to TSX

Confetti, cheers and an electronic bell welcomed Alkane Resources (ASX, TSX: ALK) to the Toronto Stock Exchange Wednesday as its latest listed company.

The A$2.3-billion (C$2.2 billion) market cap Alkane is now a dual-listed miner following its merger with Mandalay Resources last August, and sits among mid-tier gold producers by output and valuation in Canada and Australia.

“It’s a genuine nil-premium deal, we didn’t pay extra for each other’s shares when we came together,” Alkane Managing Director Nic Earner told The Northern Miner at the TSX. “The individual problems of the assets, namely liquidity, lack of access to capital, relevance, and capacity for further transactions – this broke it out of that.”

Alkane Managing Director Nic Earner speaks at the Toronto Stock Exchange. Credit: Blair McBride

 

Toronto’s TSX and TSX Venture exchange list about 40% of the world’s publicly traded mining companies, roughly the same amount as the ASX. Issuers on each side of the world weigh relative advantages in liquidity, valuation and access to specialist investors.

Value more than doubled

The all-share deal valued at almost A$560 million more than doubled Alkane’s market capitalization and gave it Mandalay’s Björkdal gold mine in Sweden as well as its Costerfield gold-antimony mine in Australia.

Costerfield is the largest antimony-producing mine in the Western world, a critical metal essential for its use in alloys and defence applications, and whose global production and processing is mostly controlled by China. Alkane held the Tomingley gold mine in New South Wales before the merger. 

Alkane shares fell almost 2% to $1.65 apiece mid-Thursday in Toronto, reflecting potential price adjustments on the TSX after the new listing or currency shifts between the Australian and Canadian dollars. The stock has traded in a 12-month range of 60¢ to $1.69.

Processing still needed

While Costerfield is among very few antimony producers in the West, Australia lacks refining capacity for the metal and Alkane ships its antimony concentrate to China for processing. There are just a handful of antimony smelters in the West, including United States Antimony’s (NYSE-A: UAMY) Thompson Falls smelter in Montana and its other in Mexico.

“There’s enough antimony coming online to satisfy the Western demand,” Earner said. “The real catch is, where are we going to put smelting capacity and or refining capacity?”

Costerfield, located in 120 km north of Melbourne in Victoria, produced 38,037 oz. of gold and 817 tonnes of antimony in fiscal 2025.

Leveraged Swedish asset

With the Björkdal gold mine in Sweden, Earner said it’s probably Alkane’s most leveraged asset to gold prices, as the company continues to cut unit costs and raise production by 25% to 40%.

“It’s a big benefit to shareholders and just very satisfying for an engineering operation,” he said.

Björkdal produced 41,364 oz. of gold in fiscal 2025. The mine is about 750 km north of Stockholm.

Alkane’s three mines generated a record A$133 million in operating cash flow so far this year, according to a corporate presentation.

For the rest of the year, Earner said Alkane plans to continue growing its reserves and it’s continuing to look for more M&A opportunities.

“We very much want to be doing another transaction, and we’re look in Australia and here in North America.”