The two have agreed to combine their respective businesses, which will create a multi-asset and multi-jurisdiction gold mining company.

"We welcome onboard the Sycamore management team and the shareholders of Sycamore in our new group," Robex executive chairman George Cohen said.

"Kiniero is a world class asset with 3.4 million ounces of historical resources and one of the largest land packages in Guinea. Combined with our operational expertise and the synergies with Nampala we are excited for the future ahead," he added.

The deal—which is expected to close before the end of the current quarter—is for a purchase price payable through the issuance of a maximum of 403.6 million shares in the capital of Robex.

The resulting shareholding will see Robex shareholders and former Sycamore shareholders own respectively 59.78% and 40.22% of Robex, Robex said.

One of the key objectives of the transaction, Robex said, is the short-term opportunity to bring Guinea-based Kiniero online through leveraging Robex's expertise in plant development and operation and Sycamore's strength in resource delineation.

Kiniero is a former producing operation, having run from 2002 to 2014. The mine produced 436,346oz at an ave3rage recovery of 90.4% from 5.36 million tonne of ore, Robex said.

When it entered into care and maintenance in 2014, it had 271,000oz of remaining reserves at 2.27g/t and 1.284 million oz of resources at 2.43g/t, the company said noting historical internal reporting.

"All the infrastructure from the former mining operation have been refurbished and upgraded with an operational airstrip, a management camp, a village camp, and a workshop," Robex said.

Robex's share price was quoted as C$0.395 (US$0.32) on April 21, having dropped 4% day on day. The company has a market capitalisation of C$236.95 million.