IGE and Pangea Diamondfields to Merge

International Gold Exploration (IGE) has stated that it will purchase Efidium Ltd, a subsidiary of Pangea Diamondfields, in a deal that will merge the two companies' diamond assets. The merger, announced by Pangea on Monday, will consolidate Pangea’s five diamond projects in Angola, the Democratic Republic of the Congo (DRC) and South Africa with IGE's four diamond ventures in Angola.

IGE will issue 495 million new shares, estimated at $48, in exchange for the entire issued share capital of Efidium. Once the deal is finalized, Pangea will hold 38.4% of International Gold Exploration’s issued share capital.

"The diamond operations of IGE and Pangea are an excellent fit. The combined interests will comprise a well balanced project portfolio, highly experienced exploration and operational staff and sufficient critical mass to be an important player in African diamond mining. In particular, combining our respective operations in Southern Africa creates opportunities to maximize the efficiency and reach of the merged organization,” said Pangea CEO Boris Kamstra.

Kamstra will lead the management of IGE's diamond activities following the completion of the merger, the company announced.