Osisko Development - CEO, Sean Roosen.
CEO, Sean Roosen.
Source: The Globe and Mail.
Market Herald logo

Subscribe

Be the first with the news that moves the market
  • Osisko Gold Royalties (OR) announced the company has signed a royalty transfer agreement with Sailfish Royalty Corp
  • Osisko is acquiring up to a 2.75-per-cent net smelter return (NSR) royalty on the Tocantinzinho Gold Project
  • The permitted and construction-ready, open-pit gold project located in Brazil and is operated by Eldorado Gold Corp
  • Osisko is paying a cash consideration of US$10 million
  • Osisko Gold Royalties is up 1.87 per cent, trading at C$16.66 at 1:36 pm ET

Osisko Gold Royalties (OR) announced the company has signed a royalty transfer agreement with Sailfish Royalty Corp.

Osisko is acquiring up to a 2.75-per-cent net smelter return (NSR) royalty on the Tocantinzinho Gold Project.
The Tocantinzinho Gold Project is a permitted and construction-ready, open-pit gold project located in Para State, Brazil and is operated by Eldorado Gold Corporation.
Under terms of the deal, Osisko is paying a cash consideration of US$10 million.

A feasibility study on the project was completed by Eldorado in 2015 and an updated technical report was published by the company in 2019 which outlines an expected mine life of 10 years.

The operator of Tocantinzinho has a one-time buydown option in relation to the royalty. At the time of project construction the operator may make a payment of US$5.5 million to reduce the royalty percentage by 2 per cent, resulting in a royalty of 0.75 per cent. Pursuant to a pre-existing agreement entered into by Sailfish, the buydown payment is payable to the original royalty owners.

“We are pleased to gain exposure to a large, construction-ready gold project with upside potential at depth as well as its surrounding land package in an area of Brazil that hosts a number of operating mines,” said Osisko President and CEO Sandeep Singh.
Montreal-based Osisko is an intermediate precious metal royalty company focused on the Americas. Osisko holds a North American focused portfolio of over 150 royalties, streams and precious metal offtakes.
Osisko Gold Royalties is up 1.87 per cent, trading at C$16.66 at 1:36 pm ET.
More From The Market Herald

" Tomagold (TSXV:LOT) completes induced polarization survey on southern portion of Obalski property

Tomagold Corporation (LOT) has completed an induced polarization (IP) survey over the southern portion of its Obalski property.

" Ascendant Resources (TSX:ASND) closes non-brokered private placement

Ascendant Resources (ASND) has closed the final tranche of its non-brokered private placement for gross proceeds of $3,512,000.

" Tanzanian Gold is now TRX Gold Corporation (TSX:TNX)

Effective today, as previously announced, Tanzanian Gold will begin trading as TRX Gold Corporation (TNX).

" Tanzanian Gold Corporation (TSX:TNX) to become TRX Gold Corporation

Tanzanian Gold Corporation (TNX) will change its name to TRX Gold Corporation effective May 27, 2022.