St Barbara has acquired Atlantic Gold, including Atlantic's Nova Scotian Moose River consolidated project. Courtesy of Atlantic Gold.

Canadian gold producer Atlantic Gold Corporation announced on Tuesday that it had agreed to be purchased by Australian gold producer St Barbara Ltd for $722 million, with Atlantic shareholders receiving $2.90 per share.

St Barbara produced over 365,000 ounces of gold in 2018, and with this transaction it will acquire Atlantic’s Moose River Consolidated mining operation in Nova Scotia. The mine produced over 90,500 ounces of gold in 2018, and is expected to produce close to 98,000 ounces in 2019 according to Atlantic’s quarterly report. Earlier in this year, Atlantic announced plans to expand the mine to produce 200,000 ounces annually, with expected AISC of $692 per ounce.