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Genesis Minerals is set to acquire Kin Mining’s Western Australian Bruno-Lewis and Raeside gold projects in an $53.5 million deal.

When the transaction is complete, Kin will hold $17 million in cash and $69 million in Genesis shares.

The acquisition follows Genesis’ recent off-market takeover of gold explorer Dacian, which saw Dacian delisted from the ASX as of November 20.

Kin will also sell some associated buildings and miscellaneous licenses, which collectively with the tenements contain a Joint Ore Reserve Committee (JORC) compliant mineral resources totalling 610,000 ounces (oz).

The transaction value equates to approximately $88 per resource oz.

Genesis and its subsidiaries will have access to some of Kin’s retained tenure to facilitate its operations, with Kin continuing exploration its Cardinia gold project.

Genesis managing director Raleigh Finlayson said the Kin assets were prudent bolt-on acquisitions for the company.

“With more than 12 metric tonnes of open pit resources, Bruno-Lewis has the potential to supplement the eventual sustainable restart of our currently idled Laverton mill,” he said.

“Raeside offers supplementary high grade open pit ore to our Leonora mill just 10km away.

“We look forward to reporting maiden reserves for these new, value-add deposits and bolting them into our five-year outlook, to be unveiled in the new year.”

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The acquisition of Bruno-Lewis and Raeside will add approximately 4 per cent to Genesis’ mineral resources, currently sitting at 15 million ounces.

“This is a great deal for Kin and one that resets the bar,” Kin executive chair Rowan Johnston said.

“The cash will allow us to follow up on some exciting deeper targets, further define our existing resources and evaluate other growth options.

“This puts us in a unique position in the junior WA gold sector with the ability to unlock the value of our existing assets, aggressively target new discoveries and participate in future consolidation.”