TORONTO, Aug. 14,
2024 /PRNewswire/ - Allied Gold Corporation
(TSX: AAUC) ("Allied" or the "Company") is pleased to announce the
closing of its previously announced streaming transaction (the
"Stream Transaction") with Triple Flag International Ltd., a
wholly-owned subsidiary of Triple Flag Precious Metals Corp.
(collectively, "Triple Flag").
Under the terms of the Stream Transaction, Allied has received a
US$53 million upfront cash payment
(the "Advance Amount") and will receive ongoing payments equal to
10% of the spot gold price for a portion of its production. Triple
Flag will have the right to purchase 3% of the payable gold related
to production at each of the Agbaou and Bonikro mines, subject to a
step-down to 2% after set delivery thresholds.
The closing of this transaction crystallizes significant value
in Allied's Côte d'Ivoire Complex ("CDI Complex") and provides the
financial flexibility to advance exploration, growth, and
optimization initiatives. The CDI Complex, comprising the Agbaou
and Bonikro mines, remains a central element of Allied's growth
strategy.
Allied continues to advance its stream and gold prepay financing
for its Kurmuk project and evaluate how to redeploy cash flows
otherwise previously allocated to Kurmuk and the CDI Complex toward
the advancement of its expansion plans at Sadiola.
About Allied Gold Corporation
Allied Gold is a Canadian-based gold producer with a significant
growth profile and mineral endowment which operates a portfolio of
three producing assets and development projects located in Côte
d'Ivoire, Mali, and Ethiopia. Led by a team of mining executives
with operational and development experience and proven success in
creating value, Allied Gold is progressing through exploration,
construction and operational enhancements to become a mid-tier next
generation gold producer in Africa
and ultimately a leading senior global gold producer.
Advisors and Counsel
National Bank Financial acted as financial advisor, and
Cassels Brock & Blackwell LLP
acted as legal advisor to Allied on the Stream Transaction.
CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING INFORMATION
AND STATEMENTS
This press release contains "forward-looking information" under
applicable Canadian securities legislation. Except for statements
of historical fact relating to the Company, information contained
herein constitutes forward-looking information, including, but not
limited to, any information as to the Company's strategy,
objectives, plans or future financial or operating performance.
Forward-looking statements are characterized by words such as
"plan", "expect", "budget", "target", "project", "intend",
"believe", "anticipate", "estimate" and other similar words or
negative versions thereof, or statements that certain events or
conditions "may", "will", "should", "would" or "could" occur. In
particular, forward-looking information included in this press
release includes, without limitation, statements with respect to
information concerning the Stream Transaction, conditions precedent
and the closing thereof, expectations to be fully financed,
expected production, exploration, development and expansion plans
discussed herein being met. Forward-looking information is based on
the opinions, assumptions and estimates of management considered
reasonable at the date the statements are made, and is inherently
subject to a variety of risks and uncertainties and other known and
unknown factors that could cause actual events or results to differ
materially from those projected in the forward-looking information.
These factors include the Company's dependence on products produced
from its key mining assets; fluctuating price of gold; risks
relating to the exploration, development and operation of mineral
properties, including but not limited to adverse environmental and
climatic conditions, unusual and unexpected geologic conditions and
equipment failures; risks relating to operating in emerging
markets, particularly Africa,
including risk of government expropriation or nationalization of
mining operations; health, safety and environmental risks and
hazards to which the Company's operations are subject; the
Company's ability to maintain or increase present level of gold
production; the Company's ability to execute on its expansion and
optimization plans; nature and climatic condition risks;
counterparty, credit, liquidity and interest rate risks and access
to financing; the Company's success in executing non-dilutive
financing alternatives; cost and availability of commodities;
increases in costs of production, such as fuel, steel, power,
labour and other consumables; risks associated with infectious
diseases; uncertainty in the estimation of Mineral Reserves and
Mineral Resources; the Company's ability to replace and expand
Mineral Resources and Mineral Reserves, as applicable, at its
mines; factors that may affect the Company's future production
estimates, including but not limited to the quality of ore,
production costs, infrastructure and availability of workforce and
equipment; risks relating to partial ownerships and/or joint
ventures at the Company's operations; reliance on the Company's
existing infrastructure and supply chains at the Company's
operating mines; risks relating to the acquisition, holding and
renewal of title to mining rights and permits, and changes to the
mining legislative and regulatory regimes in the Company's
operating jurisdictions; limitations on insurance coverage; risks
relating to illegal and artisanal mining; the Company's compliance
with anti-corruption laws; risks relating to the development,
construction and start-up of new mines, including but not limited
to the availability and performance of contractors and suppliers,
the receipt of required governmental approvals and permits, and
cost overruns; risks relating to acquisitions and divestures; title
disputes or claims; risks relating to the termination of mining
rights; risks relating to security and human rights; risks
associated with processing and metallurgical recoveries; risks
related to enforcing legal rights in foreign jurisdictions;
competition in the precious metals mining industry; risks related
to the Company's ability to service its debt obligations;
fluctuating currency exchange rates (including the US Dollar, Euro,
West African CFA Franc and Ethiopian Birr exchange rates); risks
related to the Company's investments and use of derivatives;
taxation risks; scrutiny from non-governmental organizations;
labour and employment relations; risks related to third-party
contractor arrangements; repatriation of funds from foreign
subsidiaries; community relations; risks related to relying on
local advisors and consultants in foreign jurisdictions; the impact
of global financial, economic and political conditions, global
liquidity, interest rates, inflation and other factors on the
Company's results of operations and market price of common shares;
risks associated with financial projections; force majeure events;
transactions that may result in dilution to common shares; future
sales of common shares by existing shareholders; the Company's
dependence on key management personnel and executives;
vulnerability of information systems including cyber attacks; as
well as those risk factors discussed or referred to herein.
Although the Company has attempted to identify important factors
that could cause actual actions, events or results to differ
materially from those described in forward-looking information,
there may be other factors that could cause actions, events or
results to not be as anticipated, estimated or intended. There can
be no assurance that forward-looking information will prove to be
accurate, as actual results and future events could differ
materially from those anticipated in such statements. The Company
undertakes no obligation to update forward-looking information if
circumstances or management's estimates, assumptions or opinions
should change, except as required by applicable law. The reader is
cautioned not to place undue reliance on forward-looking
information. The forward-looking information contained herein is
presented for the purpose of assisting investors in understanding
the Company's expected financial and operational performance and
the Company's plans and objectives and may not be appropriate for
other purposes.
View original content to download
multimedia:https://www.prnewswire.com/news-releases/allied-gold-announces-closing-of-53-million-streaming-agreement-with-triple-flag-302222899.html
SOURCE Allied Gold Corporation
