Equinox Gold has repositioned itself by selling its Brazilian operations for over $1 billion and using the proceeds to significantly reduce debt. The move sharpens the company’s focus on North American assets and improves its financial flexibility heading into 2026.
The sale included both producing and development-stage mines in Brazil. Equinox received $950 million in cash upfront, which it used to fully repay a $139 million term loan and clear $229 million in revolving credit. A further $308 million was applied to a gold prepay arrangement. The company has now reduced its net debt by more than half, dropping from $900 million at the end of September to $390 million. This materially lowers interest costs and reduces refinancing risk over the next several years.
The decision to exit Brazil aligns with the company’s goal of concentrating on assets it considers more strategic and better aligned with its growth plans. Equinox retains a portfolio of mines in the United States, Canada and Mexico, and intends to fund ongoing expansion projects internally. This includes continued development at Greenstone, which is expected to contribute meaningful production growth when fully ramped up.
CQS Natural Resources Growth and Income plc (LON:CYN) is a closed end UK investment trust providing shareholders with capital growth and income from a portfolio of mining and resource equities and mining, resource, industrial and other fixed interest securities.
