TORONTO, March 8, 2017 /PRNewswire/ - AuRico Metals Inc. (TSX: AMI), ("AuRico" or the "Company") is pleased to announce the closing of the previously announced plan of arrangement (the "Arrangement") pursuant to which AuRico acquired 100% of the outstanding common shares of Kiska Metals Corporation ("Kiska"), other than the Kiska shares already owned by AuRico. Kiska is now a wholly-owned subsidiary of AuRico.  

The Arrangement was approved at a special meeting of Kiska securityholders held on March 1, 2017 by approximately 96.31% of the votes cast by Kiska securityholders (voting as a single class) present in person or by proxy.  A final order approving the Arrangement was obtained from the Supreme Court of British Columbia on March 3, 2017.

Kiska's royalty portfolio consists of six existing royalties including royalties on the East Timmins and Boulevard properties operated by Kirkland Lake Gold and Independence Gold, respectively. In addition, Kiska's six wholly-owned exploration projects present organic royalty creation opportunities. All assets are located in North America and are expected to further enhance AuRico's existing high quality royalty pipeline.  With the acquisition of Kiska, AuRico now has a portfolio consisting of 17 royalties. 

AuRico's President & CEO Chris Richter commented, "We are very pleased to close this accretive transaction which further broadens our royalty portfolio pipeline in North America and preserves our strong balance sheet. With a well-diversified portfolio of royalties in place and several key upcoming catalysts expected at Kemess in the near-term, we remain very well positioned for an exciting year ahead."

About AuRico Metals

AuRico Metals is a mining development and royalty company with a 100% interest in the Kemess property in British Columbia, Canada. The Kemess property hosts the feasibility-stage Kemess Underground Gold-Copper project, the Kemess East exploration project, and the infrastructure pertaining to the past producing Kemess South mine. AuRico's royalty portfolio includes a 1.5% NSR royalty on the Young-Davidson Gold Mine and a 2% NSR royalty on the Fosterville Mine, as well as a portfolio of additional producing and pre-production royalty assets located in North America and Australia.

Cautionary Statement on Forward-Looking Information

Except for statements of historical fact relating to AuRico Metals Inc. or Kiska Metals Corporation certain information contained herein constitutes "forward-looking statements" as such term is used in applicable Canadian securities laws. Forward-looking statements include statements that are predictive in nature, depend upon or refer to future events or conditions, or include words such as "expects", "anticipates", "plans", "believes", "considers", "intends", "targets", or negative versions thereof and other similar expressions, or future or conditional verbs such as "may", "will", "should", "would" and "could" in particular, statements related to the Arrangement and the expected completion thereof. We provide forward-looking statements for the purpose of conveying information about our current expectations and plans relating to the future and readers are cautioned that such statements may not be appropriate for other purposes. By its nature, this information is subject to inherent risks and uncertainties that may be general or specific and which give rise to the possibility that expectations, forecasts, predictions, projections or conclusions will not prove to be accurate, that assumptions may not be correct and that objectives, strategic goals and priorities will not be achieved.

Other than as specifically required by law, we undertake no obligation to update any forward-looking statement to reflect events or circumstances after the date on which such statement is made, or to reflect the occurrence of unanticipated events, whether as a result of new information, future events, results or otherwise.

SOURCE AuRico Metals

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