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New York investment management firm Paulson & Co. is significantly bolstering its shareholding in Midas Gold (TSX: MAX), which is currently focused on redeveloping the former Stibnite gold, silver, antimony and tungsten mine in Valley County, Idaho.

In a Wednesday press release, the Vancouver-based miner announced that Paulson, on behalf of the several investment funds and accounts managed by the firm, will exercise the conversion feature on the C$82.1 million in convertible notes held by Paulson for a total of 199.69 million common shares of Midas Gold.

This would result in Paulson holding approximately 44.12% of the company’s outstanding shares. Prior to the conversion, Paulson held approximately 9.66 million shares, representing a shareholding of 3.52%.

Paulson first invested in Midas back in 2016 through a C$55.2 million financing. In March of this year, the firm made a further investment with a C$47.6 million convertible note financing to help Midas advance the Stibnite project, which contains one of the largest gold reserves in the US, capable of producing 337,000 ounces of gold annually.

Earlier this month, the proposed Stibnite mine was made available for public comment when the US Forest Service released the project’s draft environmental impact statement.

“Given the release of the DEIS and the commencement of the public comment period, we believe that it is an appropriate time for the conversion of the notes, and Paulson intends to remain a long-term shareholder of the company,” Marcelo Kim, partner of Paulson and Midas chairman said in a press release.

Barrick Gold, the world’s second-largest gold miner, also holds a near 20% stake in Midas Gold.

Shares of Midas Gold were down 3.4% by noon EDT, giving the company a market capitalization of C$460.1 million.