Overview of Westgold Resources and Karora's Merger

Westgold Resources Limited (ASX: $WGX) welcomes the filing of the Management Information Circular by Karora Resources Inc. for the annual general and special meeting of shareholders to approve the merger of Westgold and Karora. The completion of the Transaction is subject to the votes cast by Karora shareholders, approval of the Ontario Superior Court of Justice, and regulatory approvals, including approval by the Foreign Investment Review Board.

Executive Commentary on the Merger

The Transaction represents a significant step forward for both Westgold and Karora shareholders. The combined entity is expected to become a top five Australian gold producer with increased diversification across two strategic Western Australian goldfields. The Transaction is unanimously recommended by the Karora Board, and the directors and senior officers of Karora have entered into agreements with Westgold to vote in favor of the Transaction.

Summary of the Merger and Outlook

The merger between Westgold and Karora is set to create a globally investable, mid-tier unhedged gold producer operating exclusively in Western Australia. The combined entity is expected to have a pro forma market capitalization of approximately A$2.4 billion and increased diversification across strategic Western Australian goldfields. The Transaction is subject to shareholder votes, court approval, and regulatory approvals. The completion of the Transaction will provide the new entity with enhanced capital markets profile as it will be listed on both the ASX and the TSX, providing increased scale and trading liquidity.