Equinox Gold Completes Sale of Brazil Operations for Total Cash Consideration of US$1.015 Billion; Pays Down More than US$800 Million of Debt With Net Debt Reduced to US$150 Million (All financial figures are in US dollars)
Equinox Gold Completes Sale of Brazil Operations for Total Cash
Consideration of US$1.015 Billion; Pays Down More than US$800 Million of
Debt With Net Debt Reduced to US$150 Million
(All financial figures are in US dollars)
VANCOUVER, British Columbia, Jan. 23, 2026 -- Equinox Gold Corp. (TSX: EQX, NYSE American: EQX) (“Equinox Gold” or
the “Company”) completed the previously announced sale of its Aurizona Mine, RDM Mine and Bahia Complex located in
Brazil (the “Brazil Operations”) to a subsidiary of the CMOC Group for total consideration of up to $1.015 billion (the
“Transaction”). Equinox Gold received cash proceeds of $900 million, before closing adjustments, and will receive a production
linked contingent cash payment of up to $115 million on January 23, 2027.
The Company will immediately fully repay its $500 million Term Loan, pay $300 million to extinguish the Sprott Loan and
related obligations, and make a payment on its revolving credit facility. This will reduce the Company’s senior debt to
approximately $580 million (net debt1 to approximately $150 million) and significantly lower its interest expense.
Darren Hall, Chief Executive Officer of Equinox Gold, stated: “Monetizing the Brazil Operations has streamlined our
portfolio and transformed our balance sheet. Equinox Gold is now well established as a leading North America focused gold
producer, with greater financial flexibility to self-fund high return, near term organic growth opportunities and consider capital
return initiatives. Our development pipeline has the potential to add 450,000 to 550,000 ounces of incremental annual gold
production in the coming years. With a strengthened balance sheet and 2026 consolidated gold production guidance of
700,000 to 800,000 ounces providing robust cash flow generation, we are well positioned to deliver stronger per-share value for
our shareholders.”
The Transaction was completed through the sale of the issued and outstanding shares of certain non-Brazilian wholly owned
subsidiaries of the Company that indirectly owned the Brazil Operations.
ABOUT EQUINOX GOLD
Equinox Gold (TSX: EQX, NYSE-A: EQX) is a Canadian mining company positioned for growth with a strong foundation of high
-quality, long-life gold operations in Canada and across the Americas, and a pipeline of development and expansion projects.
Founded and chaired by renowned mining entrepreneur Ross Beaty and guided by a seasoned leadership team with broad
expertise, the Company is focused on disciplined execution, operational excellence and long-term value creation. Equinox
Gold offers investors meaningful exposure to gold with a diversified portfolio and clear path to growth. Learn more at
www.equinoxgold.com or contact [email protected].
EQUINOX GOLD CONTACT
Ryan King
EVP Capital Markets T: 778.998.3700
Note:
1 Cash as at December 31, 2025 of $430 million; excludes in-the-money convertible notes.
Cautionary Notes & Forward-Looking Statements
This news release includes forward-looking information and forward-looking statements within the meaning of applicable securities laws and may include future-oriented
financial information or financial outlook information (collectively “Forward-looking Information”). Actual results of operations and the ensuing financial results may vary
materially from the amounts set out in any Forward-looking Information Forward-looking Information in this news release includes: the Company’s strategic vision and
expectations for exploration potential, production capabilities, growth potential, expansion projects and future financial or operating performance, including shareholder returns;
realization of the contingent cash consideration; expectations for Greenstone and Valentine operations, including achieving design capacity, anticipated production and cost
guidance; potential future mining opportunities around Valentine; receipt of required approvals and permits and effectiveness of the FAST-41 designation for Castle Mountain
Phase 2; and the Company’s ability to improve cash flow and continue to reduce debt. Forward-looking Information is typically identified by words such as “believe”, “will”,
“achieve”, “grow”, “plan”, “expect”, “estimate”, “anticipate”, “deliver”, “execute” and similar terms, including variations like “may”, “could”, or “should”, or the negative
connotation of such terms. While the Company believes these expectations are reasonable, they are not guarantees and undue reliance should not be placed on them.
Forward-looking Information is based on the Company’s current expectations and assumptions, including: achievement of exploration, production, cost and development
goals; completion and ramp up at Valentine; achieving design capacity at Greenstone and Valentine operations; timely receipt of Castle Mountain permits and completion of
Castle Mountain Phase 2; stable gold prices and input costs; availability of funding, accuracy of Mineral Reserve and Mineral Resource estimates; successful long-term
agreements with Los Filos communities and management of suspended operations; adherence to mine plans and schedules; expected ore grades and recoveries; absence of
labour disruptions or unplanned delays; productive relationships with workers, unions and communities; maintenance and timely receipt of permits and regulatory approvals;
compliance with environmental and safety regulations; and constructive engagement with Indigenous and community partners. While the Company considers these
assumptions reasonable, they may prove incorrect. Forward-looking Information involves numerous risks, uncertainties and other factors that may cause actual results and
developments to differ materially from those expressed or implied by such Forward-looking Information. Such factors include changes in laws, regulations and government
practices; and other risks and uncertainties described in the section “Risk Factors” in the Company’s MD&A dated March 13, 2025 for the year ended December 31, 2024,
and in the section titled “Risks Related to the Business” in Equinox Gold’s most recently filed Annual Information Form which is available on SEDAR+ at www.sedarplus.ca
and on EDGAR at www.sec.gov/edgar and in the section “Risk Factors” in Calibre Mining’s MD&A dated February 19, 2025 for the year ended December 31, 2024 and the
section titled “Risk Factors” in Calibre Mining’s most recently filed Annual Information Form which is available on SEDAR+ at www.sedarplus.ca. Forward-looking Information
reflects management’s current expectations for future events and is subject to change. Except as required by applicable law, the Company assumes no obligation to update
or to publicly announce the results of any change to any Forward-looking Information contained or incorporated by reference to reflect actual results, future events or
developments, changes in assumptions or other factors affecting Forward-looking Information. If the Company updates any Forward-looking Information, no inference should
be drawn that the Company will make additional updates with respect to those or other Forward-looking Information. All Forward-looking Information contained in this news
release is expressly qualified by this cautionary statement.