Contango Ore (CTGO) and Dolly Varden Silver (DVS) are pleased to announce that they have entered into an arrangement agreement to combine Contango and Dolly Varden on a merger-of-equals basis pursuant to a statutory plan of arrangement under the Business Corporations Act. The combination of Contango and Dolly Varden would provide investors with a unique opportunity to participate in the upside of a well-funded North American asset portfolio consisting of the cash flowing high-grade Manh Choh gold mine in Alaska as well as several high-grade silver and gold projects located in British Columbia and Alaska including the Kitsault Valley and Johnson Tract projects. Upon completion of the Transaction, existing Contango and Dolly Varden shareholders will each own approximately 50% of the outstanding shares of MergeCo, on a fully diluted in-the-money basis. MergeCo is expected to be renamed Contango Silver & Gold Inc. and will be led by Rick Van Nieuwenhuyse as CEO, Shawn Khunkhun as President and Mike Clark as Executive Vice President and CFO. The board of directors of MergeCo will include Clynt Nauman as Chairman, Brad Juneau, Darren Devine, Mike Cinnamond, Tim Clark, Rick Van Nieuwenhuyse and Shawn Khunkhun. Subject to the satisfaction of such conditions, the Transaction is expected to close in late February or early March, 2026. The Arrangement Agreement includes customary deal protections, including reciprocal fiduciary-out provisions, non-solicitation covenants and the right to match any superior proposals. A reciprocal termination fee in the amount of $15M is payable by either party in certain circumstances as set out in the Arrangement Agreement.
Wall Street analysts forecast CTGO stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for CTGO is 35.00 USD with a low forecast of 35.00 USD and a high forecast of 35.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
2 Analyst Rating
Wall Street analysts forecast CTGO stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for CTGO is 35.00 USD with a low forecast of 35.00 USD and a high forecast of 35.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
2 Buy
0 Hold
0 Sell
Moderate Buy
Current: 29.480
Low
35.00
Averages
35.00
High
35.00
Current: 29.480
Low
35.00
Averages
35.00
High
35.00
Roth Capital
Buy
upgrade
$26 -> $35
Al Analysis
2025-09-30
Reason
Roth Capital
Price Target
$26 -> $35
Al Analysis
2025-09-30
upgrade
Buy
Reason
Roth Capital raised the firm's price target on Contango Ore to $35 from $26 and keeps a Buy rating on the shares. The firm says Contango Ore continues to receive its share of gold production from the Manh Choh project that is processed at the Fort Knox mill complex. It has used cash flow from production to reduce its hedge book and outstanding debt and should soon benefit fully from higher gold prices. Contango Ore has also completed a financing to bring its Lucky Shot project to production and complete development of its Johnson Tract project, Roth adds.
Roth Capital
NULL -> Buy
upgrade
$22 -> $26
2025-05-30
Reason
Roth Capital
Price Target
$22 -> $26
2025-05-30
upgrade
NULL -> Buy
Reason
Roth Capital raised the firm's price target on Contango Ore to $26 from $22 and keeps a Buy rating on the shares. The company's Q1 results show improving gold production from the Manh Choh project, and it is using cash flow to reduce debt and hedge contracts, the analyst tells investors in a research note. This is Contango's primary focus in 2025, with the potential to fund exploration drilling at its Lucky Shot project and maintain its schedule for permitting and developing Johnson Tract, the firm added.
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Roth Capital
Buy
maintain
$22 -> $26
2025-05-29
Reason
Roth Capital
Price Target
$22 -> $26
2025-05-29
maintain
Buy
Reason
Roth Capital raised the firm's price target on Contango Ore to $26 from $22 and keeps a Buy rating on the shares. The firm notes that the company's financial results in Q1 show improving gold production from the Manh Choh project. It is using cash flow to reduce debt and hedge contracts. This is Contango's primary focus in 2025, with the potential to fund exploration drilling at its Lucky Shot project and maintain its schedule for permitting and developing Johnson Tract. With a potential pit expansion at Manh Choh, due to exploration and a lower cutoff rate, Contango perceives a longer mine life with additional cash flow, Roth adds.
About CTGO
Contango ORE, Inc. is engaged in the exploration of gold and associated minerals in Alaska. The Company holds a 30% interest in the Peak Gold JV, which leases approximately 675,000 acres of land for exploration and development on the Manh Choh project, with the remaining 70% owned by KG Mining (Alaska), Inc., an indirect subsidiary of Kinross Gold Corporation, operator of the Peak Gold JV. It also has a lease on the Johnson Tract project from the underlying owner, CIRI Native Corporation, a lease on Lucky Shot project from the underlying owner, Alaska Hardrock Inc. and through its subsidiary has 100% ownership of approximately 8,600 acres of peripheral State of Alaska mining claims. It also owns a 100% interest in an additional approximately 145,000 acres of State of Alaska mining claims through its wholly owned subsidiary, which gives the Company an exclusive right to explore and develop minerals on these lands. The Company also owns Golden Zone and Amanita NE gold properties.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
