Osisko Arrangement Receives Court Approval & Osisko Reports Record Monthly Gold Production for May
June 10 2014 - 10:07AM
Marketwired Canada
Osisko Mining Corporation ("Osisko")(TSX:OSK)(FRANKFURT:EWX), Yamana Gold Inc.
(TSX:YRI)(NYSE:AUY) ("Yamana") and Agnico Eagle Mines Limited
(NYSE:AEM)(TSX:AEM) ("Agnico Eagle") are pleased to announce that they have
received final court approval for the joint acquisition of 100% of the
outstanding shares of Osisko by Agnico Eagle and Yamana pursuant to a plan of
arrangement (the "Arrangement"). Subject to the satisfaction of remaining
closing conditions, the effective date of the Arrangement will occur on June 16,
2014.
The Arrangement
Under the Arrangement, each outstanding common share of Osisko will be exchanged
for C$2.09 in cash, 0.07264 of a common share of Agnico Eagle, 0.26471 of a
common share of Yamana, and one common share (one tenth of a common share on a
consolidated basis) of a newly formed company that will acquire certain assets
of Osisko as part of the Arrangement ("Osisko Gold Royalties Ltd").
May Production of 51,114 Ounces of Gold
Osisko is pleased to report that Osisko's flagship Canadian Malartic mine has
achieved record monthly gold production in the month of May. Statistics for May
are presented below:
-- Record monthly gold production of 51,114 ounces
-- Record monthly mill throughput of 1,709,572 tonnes
-- Record average daily throughput of 55,147 tonnes per calendar day
-- Average grade milled of 1.00 g/t Au
-- Average recovery of 88.7%
Since commencement of milling operations in April 2011, Canadian Malartic has
produced 1,292,043 ounces of gold.
Sean Roosen, President and Chief Executive Officer of Osisko stated: "Canadian
Malartic has proven itself to be a world class gold deposit. We would like to
thank all of our shareholders, our employees, the residents of Malartic, the
Malartic town council and the Quebec government officials who have supported
Osisko over the years. We have been proud to have been able to work to bring you
the benefits of Canadian Malartic from conception to reality. We appreciate your
support, and look forward to your continued participation in the benefits of
Canadian Malartic through Osisko Gold Royalties Ltd. Not least as royalty
holders, we hope for the continued success of Canadian Malartic, soon to be
operated under the Canadian Malartic Partnership, a 50/50 joint venture between
Agnico Eagle and Yamana."
Sean Boyd, President and Chief Executive Officer of Agnico Eagle, and Peter
Marrone, Chairman and Chief Executive Officer of Yamana Gold issued the
following joint statement: "We are pleased and excited with the record monthly
production and mill throughput that were delivered by Osisko at Canadian
Malartic for the month of May. These increased levels reflect the significant
potential for the Partnership to leverage Agnico and Yamana's respective
expertise to unlock additional value through further optimizations at the
operation. We look forward to building on the track record of solid operational
performance at Canadian Malartic.
With that objective in mind, our integration efforts continue to advance
according to plan as we progress towards closing the transaction. We have been
impressed with the level of collaboration and partnership our teams have
achieved in a short period of time and we expect a successful transition of
operations post-close."
Mr. Luc Lessard, Eng., Senior Vice-President and Chief Operating Officer of
Osisko, is the Qualified Person who has reviewed this news release and is
responsible for the technical information reported herein, including
verification of the data disclosed.
For Further Information
Securityholders are encouraged to read Osisko's management information circular
dated May 1, 2014 for full details of the Arrangement which was mailed to Osisko
Securityholders and is also available on Osisko's website at www.osisko.com or
on SEDAR at www.sedar.com.
Shareholders who have questions or who may need assistance with the completion
of letters of transmittal are advised to contacting our Information Agent,
Laurel Hill Advisory Group at:
North American Toll Free: 1-877-452-7184
Banks, Brokers or collect calls: 416-304-2011
Email: assistance@laurelhill.com
About Osisko
Osisko Mining Corporation operates the Canadian Malartic Gold Mine in Malartic,
Quebec and is pursuing exploration on a number of properties, notably in Quebec,
Ontario and Mexico.
About Yamana
Yamana is a Canadian-based gold producer with significant gold production, gold
development stage properties, exploration properties, and land positions
throughout the Americas including Brazil, Argentina, Chile and Mexico. Yamana
plans to continue to build on this base through existing operating mine
expansions, throughput increases, development of new mines, the advancement of
its exploration properties and by targeting other gold consolidation
opportunities with a primary focus in the Americas.
About Agnico Eagle
Agnico Eagle is a senior Canadian gold mining company that has produced precious
metals since 1957. Its seven mines are located in Canada, Finland and Mexico,
with exploration and development activities in each of these regions as well as
in the United States. The Company and its shareholders have full exposure to
gold prices due to its long-standing policy of no forward gold sales. Agnico
Eagle has declared a cash dividend every year since 1983.
Forward-looking statements
Certain statements contained in this press release may be deemed
"forward-looking statements". All statements in this release, other than
statements of historical fact, that address events or developments that Osisko,
Agnico Eagle and Yamana expect to occur, are forward looking statements. Forward
looking statements are statements that are not historical facts and are
generally, but not always, identified by the words "expects", "plans",
"anticipates", "believes", "intends", "estimates", "projects", "potential",
"scheduled" and similar expressions, or that events or conditions "will",
"would", "may", "could" or "should" occur including, without limitation, the
satisfaction of all technical, economical, regulatory and financial conditions
in order to complete the Arrangement between Osisko, Agnico Eagle and Yamana,
the realization of all expected benefits of this Arrangement, and the view on
(i) the Canadian Malartic assets, (ii) the quality and the potential of Osisko's
exploration and mining assets, (iii) the consideration offered to Osisko
shareholders, and (iv) the potential of Osisko Gold Royalties Ltd. Although
Osisko, Agnico Eagle and Yamana believe the expectations expressed in such
forward-looking statements are based on reasonable assumptions, such statements
are not guarantees of future performance and actual results may differ
materially from those in forward looking statements. Factors that could cause
the actual results to differ materially from those in forward-looking statements
include, gold prices, access to skilled consultants, results of exploration and
development activities, the Corporation's limited experience with production and
development stage mining operations uninsured risks, regulatory changes, defects
in title, availability of personnel, materials and equipment, timeliness of
government or court approvals, actual performance of facilities, equipment and
processes relative to specifications and expectations, unanticipated
environmental impacts on operations market prices, continued availability of
capital and financing and general economic, market or business conditions.
These factors are discussed in greater detail in Osisko, Agnico Eagle and
Yamana's most recent Annual Information Forms, which are filed on SEDAR and also
provide additional general assumptions in connection with these statements.
Osisko, Agnico Eagle and Yamana caution that the foregoing list of important
factors is not exhaustive. Investors and others who base themselves on the
forward looking statements contained herein should carefully consider the above
factors as well as the uncertainties they represent and the risk they entail.
Osisko, Agnico Eagle and Yamana believe that the expectations reflected in those
forward-looking statements are reasonable, but no assurance can be given that
these expectations will prove to be correct and such forward-looking statements
included in this press release should not be unduly relied upon. These
statements speak only as of the date of this press release. Osisko, Agnico Eagle
and Yamana undertake no obligation to publicly update or revise any
forward-looking statements, whether as a result of new information, future
events or otherwise, other than as required by applicable law.
FOR FURTHER INFORMATION PLEASE CONTACT:
John Burzynski
Vice-President Corporate Development
(416) 363-8653
Sylvie Prud'homme
Director of Investor Relations
(514) 735-7131
Toll Free: 1-888-674-7563
www.osisko.com
Yamana Gold (TSX:YRI)
Historical Stock Chart
From Jul 2024 to Aug 2024
Yamana Gold (TSX:YRI)
Historical Stock Chart
From Aug 2023 to Aug 2024