On August 9, 2006, Gammon Lake Resources Inc. and Mexgold Resources Inc. announced that they had completed the business combination of Mexgold with Gammon Lake which was announced on June 26, 2006, in a deal valuing Mexgold at $451 million. Gammon Lake acquired all of the issued and outstanding Common Shares and Stock Options of Mexgold by way of a plan of arrangement under the Business Corporations Act (Ontario), in exchange for Common Shares and Stock Options of Gammon Lake on the basis of 0.47 Gammon Lake Common Shares for each Mexgold Common Share. As a result of the Arrangement, Mexgold is now a wholly-owned subsidiary of Gammon Lake. This transaction has created a premier multi-mine Mexican Gold-Silver mining company, with a fully-diluted market capitalization of over $1.6 billion. Gammon Lake was represented by Fasken Martineau with a team led by John Turner that included Greg Ho Yuen, Bodizar Crnatovic, Krisztian Toth and Mitchell Thaw (tax).