Osisko Gold Royalties to Acquire Barkerville in C$338-million Deal :: Corporate Update from Osino Resources
Merger and acquisition news reappears this morning as Osisko Gold Royalties makes a big move in the Cariboo Mining District of British Columbia. We’ll give you the terms of this agreement today, right here on Mining Stock Daily.
Welcome to Mining Stock Daily.
Today is Monday, September 23rd.
After a $60 dollar price beating two weeks ago, the price of gold held the $1500 level per the front-month futures contact. Gold shot up $13 to $1523 on Friday in response to actions for the Federal Reserve that indicate it will soon be printing more money in an attempt to address the growing liquidity problem in the financial system. The front month Silver futures contract on Friday clawed its way back over $18. On Sunday evening silver shot up another 40 cents. The Mining Stock Journal said that it appears as if the rising demand for physical gold and silver from large buyers primarily in the eastern hemisphere is beginning to impose true price discovery on the precious metals market.
Today’s briefing is brought to you by Pacific Empire Minerals.
Pacific Empire Minerals Corp. is a junior exploration company focused on the discovery of gold-rich copper deposits in British Columbia, Canada. Pacific Empire trades on the TSX Venture Exchange under the symbol PEMC and on the OTCQB markets under the symbol PEMSF. The Company currently has a very tight share structure. Pacific Empires’ unique approach to the prospect generator business model incorporates the Company’s own reverse circulation drill to advance projects beyond that of typical prospect generators. More information on Pacific Empire can be found at pemcorp.ca.
Here’s what you need to know today out of the junior resource sector.
Osisko Gold Royalties announced it has entered into a definitive agreement with Barkerville Gold Mines, pursuant to which Osisko has agreed to acquire all of the issued and outstanding common shares of Barkerville that it does not currently own, by way of a plan of arrangement under the Business Corporations Act. Under the terms of the Arrangement, each shareholder of Barkerville (excluding Osisko) will receive 0.0357 of a common share of Osisko for each share of Barkerville held. The Exchange Ratio implies consideration of C$0.58 per Barkerville share, based on the closing price of Osisko shares on Friday. This represents a 44% premium based on both companies’ trailing 20-day volume weighted average price. Osisko says the total value of the deal represents approximately C$338-million. Osisko says it expects to fund the planned work through available liquidity, future revenue from royalties and streams, project debt as well as outside private equity and joint venture capital through the creation of the North Spirit Discovery Group, a new development platform designed to assist resource development projects through joint ventures or private equity capital. It is anticipated that the Arrangement will be completed in November 2019. Barkerville has been developing the land package of the Cariboo Gold Project in Central British Columbia, home to several historic placer and hard rock mines. Barkerville trades on the TSX Venture exchange with BGM. Osisko Gold Royalties trades on the TSX and the NYSE with the symbol OR.
Tudor Gold shared results from two deep vertical diamond drill holes and four definition drill holes at the Goldstorm Zone on the Company’s flagship Treaty Creek property, located in the Golden Triangle of Northwestern British Columbia. Highlights of the results included 0.589 g/t Au over 1081.5m including an upper interval of 0.828 g/t Au over 301.5m and a lower interval of 0.930 g/t Au over 207 m. The hole was stopped in mineralization due to the drill rig reaching its depth limitation, however, casing was left in the hole for possible continuation next year. You can read the full list of results on the company’s website. Tudor Gold trades on the TSX Venture with the symbol TUD and on the OTC markets with TDRRF. https://www.juniorminingnetwork.com/junior-miner-news/press-releases/1960-tsx-venture/tud/67402-tudor-gold-further-extends-the-goldstorm-mineralization-with-an-additional-150m-step-out-along-strike-intercepting-the-largest-gold-interval-drilled-to-date-1081-5m-averaging-0-589-g-t-gold-including-an-upper-interval-of-301-5m-containing-0-828-g-t-gold.html
Mineral Mountain announced that its 4,000 meter drill program has commenced, financed by privately placed equity deal which raised $2.3 million dollars. The program entails "directional drilling technology" to target historic high grade mineralization on the Standby Target discovered by Newmont a couple decades ago. The Mining Stock Journal commented that if the Mineral Mountain hits a discovery with this drill program, the stock will double or triple over a short period of time. The Company's shares trade under MNRLF in the U.S. and MMV on the Tsx Venture.
IAMGOLD says mining operations have resumed in the southern pits of Mayo and Royal Hill of at the Rosebel Gold Mine in Suriname. A full ramp up is expected in 30 days. Mine development activities at Saramacca have also resumed while a recall plan is in place for the 325 contractors who were released in August. The Mine was temporarily shut down after the death of an unauthorized miner. https://www.juniorminingnetwork.com/junior-miner-news/press-releases/568-tsx/img/67409-iamgold-announces-the-resumption-of-mining-operations-at-the-southern-pits-of-its-rosebel-gold-mine.html
That concludes today’s briefing.
Now let us turn to an interview with Osino Resource CEO Heye Daun, which was recorded from the Beaver Creek Precious Metals Summit almost a week and a half ago now. Heye discusses exploring for gold in Namibia and the early success he and his company has found in a past few months.
That it from us today at Mining Stock Daily. Thanks again for tuning in. If you have not already, please go ahead and hit that subscribe button on your app you use to listen to this briefing.
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