Mr. Alex, well done. Right, George Sakalidis, are you in this audience somewhere? Here he is, coming out the back. Now, watch this fellow as he walks up here. This may be the last walk he makes as MD of Magnetic Resources here at RIU. It's going to be an interesting conversation that we hear over the next 15 minutes, and I can assure you that if this is in fact the last time that he presents as MD for Magnetic Resources, it will be of his own brilliant making with his knowledge of the resources industry. Would you please make George very welcome, everyone?
Yeah, thank you for that, and we'll see where we end up. But today, I'll be presenting. Most of the talk will be about the new takeover by Genesis, which got announced on Monday. Yeah, so the Magnetic board has unanimously recommended the takeover at. It's at AUD 2 a share. The total capitalization is AUD 639 million. Includes 70% cash and 30% shares, and it's pegged around a Genesis price of AUD 6.70. So if it goes up higher than that, then I guess the amount is slightly above AUD 2. So we think it's a great deal for the company. There's been quite a bit of work done behind the scenes over the past year.
A lot of work, you know, looking at our data sets, but it's, you know, at the end of the day, we're very happy about this takeover. As you can see in the map, our areas are in gray, and the Genesis areas are in black. We effectively had the middle part of the Chatterbox Shear. Chatterbox Shear appears to go from the northern end of the Beasley Creek deposit down to the Apollo, and then it hits our ground at Lady Julie North 4. As you go south, it's got Lady Julie Central, but much further south, it goes towards Wallaby.
It's a very nice mineralized structure, and because Genesis have effectively wrapped up the northern part of that structure, it gives them the opportunity to continue on with the good work that we've initiated. Genesis themselves did pick up quite a bit of ground not that long ago from Focus, and that in addition to our land augments that whole region. In terms of Genesis, they've got a new growth strategy of 500,000 ounces, which they just announced. We'll be talking about, you know, the board of relationships with the Lady Julie North 4 and what they have to the north. Yeah, it's attractive to the Magnetic shareholders.
On a total sense, a lot of the biggest shareholders were happy with the takeover, and that's why we did have our data room open for other companies. It seems, on reflection, that's really what everyone wanted. We've, I guess we've achieved that. When you look at this map on the right, you can see the synergy and the case for a much bigger open pit. The actual boundary between the Magnetic ground and the Genesis land is, I guess, where that gray plain is. It allows Genesis in the future to be able to mine and have a much bigger open pit than potentially going underground.
And obviously, if you're not going underground, the cut-off grades increase and the opportunity to increase the reserve is there as well. So from that sense, that's the main benefit in and around Lady Julie North 4. Obviously, Genesis have got existing operations, and their processing plant is about 20 Ks to the southwest. And so this material could be easily trucked to their processing plant. Okay, this is quite a bit of information on the actual deal. You can see there's a, you know, a cash component and a share component. The way it works, the shareholders will be able to choose between cash and shares, but the ultimate ratio will be 70% cash, 30% shares. Some people will obviously want cash, some will want shares.
At the end of the day, we'll try to provide as best we can, but it will be, I guess, changed up to be in and around the 70-30 split. It was a 25% premium to the AUD 1.60 price on the Friday, last Friday, and 35% premium on the 30-day VWAP. Yeah, so we also, a number of shareholders were signed up, representing 19.6%, and they're happy to proceed and support Genesis in the future. There's a number of things that will happen, as far as a merger will take approximately three months, and that process will include a shareholder meeting and a court approval as well.
People that were involved behind the scenes as corporate advisors were Jefferies for us, Canaccord and Sternship for our friends at Genesis. This is the timetable that's coming up, and I guess it's more interesting to the people that are shareholders, but there it is. I think the record date's in early June, so people need to have shares before that period. So you can see in theory, it gets wrapped up in mid-June. I will talk about what we have and what's been taken over. So Lady Julie North 4, in itself, it's a pretty amazing deposit, two million ounces at 1.8 grams, excellent grade, and most of it is, and will be an open pit. So we've talked about this before.
We did put out a 100,000-ounce upgrade only about a month ago. This is a comparative between a number of companies that are aspiring to develop brand-new open cut deposits, and you can see that we stand out in terms of the grade and also the number of ounces. A lot of our work in the past year was getting the categories to an indicated category, so it might be hard to see, but you can see the shading difference there. This is a map that I've shown on a number of occasions. We have drilled right up to the Genesis boundary. There is opportunity for that deposit to stack to the north on the right-hand side, but that will have to be demonstrated by drilling, and it won't be us.
We'll see how that develops. It looks like it stacks to the north, but time will tell whether it does. From our point of view, the company is still progressing, so we are planning a number of extensive drilling programs, and a number of these targets are being tested at depth. You can see on the southern end, there's a number of holes planned in and around the existing silica-pyrite alteration, and we're just trying to see whether this continues at depth. There are plans to keep going, and that's really the basis for what we've been doing over the past four or five years. Yeah, again, this gives you a pretty good snapshot.
In June 2022, Lady Julie North 4 was 0.08, so not even 100,000 ounces, and now it's sitting at two million ounces. We had discovered our two other deposits, HN9 Lady Julie Central, that are within two km, prior to that, but clearly, the main deposit is the one we've been drilling in approximately four years. So this feasibility study was announced in August last year. It's kind of out of date. The numbers were pretty good then, and obviously, they'll be much, much better, but the plan was to be producing around 140,000 ounces per year. Those numbers will change and obviously, if the open cut gets much, much bigger, the ounces could be increased quite a bit. But again, that may not be up to us.
This was a bit of a summary on that we completed in August last year, and it gives you a bit more information. Probably, if you're interested in that, you can read it on our PowerPoint. This again gives you an idea on the production per year. We have found a lot more ounces since this was done, so there won't be a tail at the end. So we're looking at around 150,000 ounces for the 9-10 years. Well, these were the fantastic free cash flow numbers. You can see AUD 1.75 billion over the life of mine, but that, remember, that was done at a much lower gold price, around AUD 4,000.
Okay, there was a comparative that we did between ourselves and a number of other companies in a similar position. I guess we were trying to emphasize that, you know, we seem to excel in terms of grade, number of ounces, and low AISC costs, and a combination of those three is really what you want. The sensitivities themselves, our base case was at AUD 4,000. Clearly, it's much higher. You can see this NPV of AUD 1.6 billion, so it's seven... Yeah, it's an increase of AUD 720 million over the NPV calculated earlier. So all this has changed, 'cause obviously, we won't be building plant, and Genesis have already got a plant, so it's probably not relevant to go through it.
This is the plan, well, and the bottom picture shows the actual Lady Julie North 4 on the top, Lady Julie Central in the middle, and HN9 on the southwest side, and they're the three deposits. The top shows you the Lady Julie North 4 open pit, quite a big one, and if it goes ahead, it'll be much, much bigger, potentially 1.5 km long by 1 km wide, down to about 450 m. But again, that's my estimate, and that will change. A number of companies that helped us through the process. Yeah, so they did quality work. This has been out of date. It's how the way we were going to mine it, that will change. The underground's changed.
We've added quite a bit more to it, and we're not sure how much is underground will happen in the future. So you can see, this is what we were planning, but it, it will change. So in terms of company overview, after the announcement, our market capitalization jumped to AUD 650 million. At two of our top three shareholders have signed up, happy to go ahead with the bid. And so we're continuing business as usual, but there have been a number of events in the three months, and hopefully it'll end up very well. I think that's most of the talk, and thanks, thank you.