Canada-based gold producer Alamos Gold has announced the sale of its development projects in Turkey to the local gold mining company Tümad Madencilik Sanayi ve Ticaret, for $470m (C$646.93m). 

The agreement involves the transfer of Alamos’ wholly owned Turkish subsidiary, Doğu Biga Madencilik Sanayi ve Tic. 

The subsidiary manages the Kirazlı, Ağı Dağı, and Çamyurt projects in north-western Türkiye. 

Under the terms of the deal, Alamos will receive $160m at closing, an additional $160m one year later and a final $150m two years after the closing. 

The payments are backed by bank guarantees from internationally rated financial institutions, ensuring Alamos receives the full amount within two years. 

Alamos intends to use the proceeds to advance its growth projects, including the expansion of its Lynn Lake project in Canada and the Puerto Del Aire project in Mexico, and to reduce its existing debt. 

The transaction is expected to close in the fourth quarter of 2025, subject to regulatory approvals in Türkiye and standard closing conditions. 

Alamos president and CEO John McCluskey said: “This transaction marks a positive outcome, allowing us to crystallise significant value for our Turkish assets and utilise the proceeds to support the development of our portfolio of other high-return growth projects. 

“These projects are all located in North America, they are all lower cost and they underpin one of the strongest growth profiles in our sector.” 

Alamos operates three mines in North America, namely the Island Gold District and the Young-Davidson mines in Ontario, and the Mulatos District in Mexico. 

It employs more than 2,400 people and is listed on the Toronto and New York stock exchanges. 

In March last year, Alamos Gold agreed to acquire Argonaut Gold's shares for $325m, consolidating mining operations in Ontario. 

The deal included Argonaut’s Magino mine, adjacent to Alamos’ Island Gold mine.