SSR to buy Roxmore for $464M, boosts value of Nevada gold mine

SSR Mining (TSX, Nasdaq: SSRM) agreed to buy Nevada-focused explorer Roxmore Resources (TSX: RM) for $464 million (C$660.1 million) as it released an updated report for the nearby Marigold mine that raises its life to 20 years.

The all-cash deal would give SSR Roxmore’s Converse project, located just 6 km west of the producing Marigold mine, potentially adding 150,000 to 170,000 oz. of annual gold production over a 10-year life. Converse is about 275 km northeast of Nevada’s capital, Carson City.

Expanding production profile

“This transaction [is] positive for SSRM shares, as it secures a large, adjacent development asset that can materially extend and expand [SSR’s] U.S. production profile while leveraging the existing Marigold infrastructure and operating platform,” Scotia Capital analyst Ovais Habib said in a note on Tuesday.

“This acquisition appears consistent with management’s low-capital-intensity growth strategy and is expected to be accretive to net asset value and mineral resources.”

The deal represents a “compelling opportunity” to add a high-quality gold resource near Marigold at a good valuation, SSR Executive Chairman Rod Antal said in a release.

“We have been carefully monitoring the progress of the Converse deposit for some time, and have conducted a focused due diligence review of the asset,” he said. “SSR Mining is the natural acquiror of this exciting deposit and developing an asset in close proximity to Marigold will allow for clear operating and financial efficiencies.”

The deal would strengthen SSR’s position among the largest U.S. gold producers while advancing its strategy of building a long-term production hub in Nevada. It also comes about six months after SSR sold its 80% stake in Turkey’s Çöpler mine, where the company suspended operations in 2024 following a heap-leach pad landslide that killed nine miners.

SSR shares down

Despite the announced deal, SSR shares fell 7% to $46.72 apiece on Tuesday morning in Toronto, possibly due to the relatively high initial costs at Converse of $829 million, according to an April 2026 preliminary economic assessment (PEA). SSR has a market capitalization of about $9.4 billion. The stock has traded in a 12-month range of $25.83 to $54.50. Roxmore shares surged 30% to a new 52-week high of $6.96 each, for a market value of $502.1 million.

Discounted at 5%, Converse has a post-tax net present value (NPV) of $2.7 billion, assuming a consensus gold price of $3,600 per oz., and a post-tax internal rate of return (IRR) of 42.8%, according to the PEA. The open-pit Converse could produce 250,000 oz. annually over a 15-year life.

Converse hosts 103 million indicated tonnes grading 0.65 gram gold per tonne for 2.2 million contained oz. 218 million inferred tonnes at 0.43 gram gold for 3 million oz., according to a March resource update.

Once the project begins output, SSR’s annual production profile in the United States could exceed 450,000 oz. during peak years. It would average about 350,000 to 400,000 oz. from 2033 to 2042, SSR said. The company’s other U.S. mine is Cripple Creek & Victor, located in Colorado.

Marigold reserves boost

Meanwhile, SSR’s updated life-of-mine plan for Marigold raises its active mine life by five years to 20 years and its probable gold reserves by 43% to 4.6 million oz. over the previous estimate from 2025. Life-of-mine production grew 46% to 3.2 million ounces.

The report more than triples Marigold’s post-tax NPV to $3.3 billion, while life-of-mine capital costs more than tripled to $1.3 billion. It assumes a gold price of $3,948 per ounce.

The update incorporates the initial life of mine plan for the Buffalo Valley project with 700,000 oz. of probable reserves and first production expected in 2029. Buffalo Valley is 24 km southwest of the main Marigold mine.

Future production growth

Scotia Capital’s Habib said the report is positive for SSR, as the reserve increase extends Marigold’s mine life, improves long-term production visibility and shows value creation through reserve conversion. 

“The incorporation of Buffalo Valley into the mine plan provides an additional source of future production growth, while [SSR’s] estimated after-tax NPV (…) underscores Marigold’s strategic importance within [SSR’s] increasingly attractive U.S.-focused asset base,” he said.

The updated report bolsters Marigold’s position as a top asset in the U.S., SSR’s Antal said.

“Over the next three years, we plan to invest in Marigold to modernize the operation for future success through fleet and heap leach pad expansions that aim to improve its operational flexibility and reliability,” he said.

The new plan highlights the growing importance of satellite deposits in extending the productive lives of established gold mines, allowing operators to leverage existing infrastructure rather than develop new mining complexes.