- Osisko Metals Inc. (OM) is exercising its option agreement to acquire the Gaspé Copper Mine from Glencore Canada
- This gives the company an option to acquire a 100 per cent interest in the mine
- Osisko Metals made an up-front payment of US$25 million through a convertible note
- Osisko will also make a cash payment of US$20 million when commercial production begins
- The company is in the business exploration and development in Canada
- Osisko Metals Inc. (OM) is down 5.41 per cent, trading at C$0.35 per share at 12 pm ET
Osisko Metals (OM) is exercising its option to acquire the Gaspé Copper project from Glencore Canada Corporation.
Located near Murdochville in the Gaspé peninsula of Québec, the project boasts a 3 billion lb resource.
This gives the company an option to acquire a 100 per cent interest in the Gaspé Copper mine, having made an up-front payment of US$25 million through issuing a convertible note to Glencore. In addition, the company will make a cash payment of US$20 million when commercial production begins.
The company’s CEO, Robert Wares stated that Gaspé Copper was a significant copper producer in Eastern Canada for more than 40 years, and his team believes in the potential to unlock value from this asset through drilling and re-evaluation of remaining resources.
“The successful closing of this transaction will give Osisko Metals shareholders significant copper exposure and make Glencore a major shareholder of the company.”
Completion of the acquisition remains subject to closing conditions, such as TSX Venture Exchange approval.
Osisko Metals is a Canadian exploration and development company.
Osisko Metals Inc. (OM) is down 5.41 per cent, trading at C$0.35 per share at 12 pm ET.
