Osisko Development - CEO, Sean Roosen.
CEO, Sean Roosen.
Source: The Globe and Mail.
  • Osisko Gold Royalties (OR) has signed a key agreement in its ongoing development of the Cariboo gold project in British Colombia
  • The new project agreement outlines the relationship between the region’s Lhtako Dene Nation and Osisko Gold Royalties subsidiary Barkerville Gold Mines
  • The deal is part of the company’s wider plan to spin out a development branch to handle the project, through a reverse takeover of Barkerville Gold Mines
  • Once the deal finalises, Barkerville Gold Mines will become part of the newly formed Osisko Development and assume the Cariboo Gold project, as well as the obligations outlined in today’s agreement with the Lhtako Dene Nation
  • Osisko Gold Royalties (OR) is down 4.32 per cent and is trading at C$15.74 per share

Osisko Gold Royalties (OR) has signed a key agreement in its ongoing development of the Cariboo gold project in British Colombia.

Located in the traditional territory of the Lhtako Dene Nation, the Cariboo project is currently in the permitting process to become a 4,750-tonne per day underground operation. A feasibility study for the site is expected in the second half of next year and full permitting is scheduled for 2022.

The new project agreement outlines the relationship between the Lhtako Dene Nation and Osisko Gold Royalties subsidiary Barkerville Gold Mines, though the exact specifications of the deal remain confidential.

This latest agreement builds on an earlier initial engagement protocol and subsequent relationship agreement between the two groups, which were both originally signed in 2016.

The deal is part of the company’s wider plan to spin out a new development branch to handle the project, through a reverse takeover of Barkerville Gold Mines, which was first announced earlier this month.

Once the deal finalises, Barkerville Gold Mines will become part of the newly formed Osisko Development and assume the Cariboo gold project, as well as the obligations outlined in today’s agreement with the Lhtako Dene Nation.

Chris Lodder, current President of Barkerville and future President of Osisko Development, said the agreement will strengthen the company’s partnership with the Lhtako Dene Nation and increase its understanding of their traditions and culture.  

“Over the last five years we have learned much about the traditional values and territory of the LDN. On behalf of BGM and Osisko Development we are very proud of this long-term relationship we have entered into with the LDN and the mutual benefits it will bring,” he added.

Osisko Gold Royalties (OR) is down 4.32 per cent and is trading at C$15.74 per share at 2:07pm EDT.

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