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Osisko Gold Royalties Announces Purchase of Royalties From Barrick Gold
MONTREAL, Oct. 27, 2021 (GLOBE NEWSWIRE) -- Osisko Gold Royalties Ltd (“Osisko” or the “Corporation”) (OR: TSX & NYSE) is pleased to announce that it has conclu
About this update from Or Royalties Inc.
[{"type":"text","content":" MONTREAL, Oct. 27, 2021 (GLOBE NEWSWIRE) -- Osisko Gold Royalties Ltd (“Osisko” or the “Corporation”) (OR: TSX & NYSE) is pleased to announce that it has concluded a transaction with Barrick TZ Limited, a subsidiary of Barrick Gold Corporation (“Barrick”), to acquire the following royalties for total cash consideration of US$11,750,000: a 2% NSR royalty on the AfriOre and Gold Rim licenses comprising the West Kenya project operated by Shanta Gold Limited (“Shanta Gold”); a 1% NSR royalty on the Frontier project operated by Metalor SA, a private company; and a 1% NSR royalty on the Central Houndé project operated by Thor Explorations Ltd. (“Thor”) Sandeep Singh, President and CEO of Osisko commented, “We are pleased to add, to our portfolio, royalties on prospective projects that are multiple-hundreds of square kilometers in size. West Kenya, the most advanced asset, comprises a district-scale 1,162km2 land package which already contains a robust initial high-grade resource with a potential long life, low cost, high return project. Recent drill results, which rank amongst the best in the sector, highlight the high grade nature of the deposit and its growth potential. The project is an important growth asset for Shanta Gold, a company with an operating mine in the region and the ability to fast-track towards production. This latest suite of royalties underscores Osisko’s ongoing discipline towards acquiring high quality royalties and streams with attractive rates of return.” About the Royalties West Kenya is a development-stage, high-grade gold project located in the Lake Victoria gold field. Shanta Gold published a scoping study in October 2020 that outlined a 9-year mine life producing approximately 105,000 ounces of gold per year from an inferred resource base of 2.9 million tonnes grading 12.6 g/t for 1.18 million ounces of gold. The project is currently envisaged as a combined open pit and underground operation focused on the Isulu and Bushiangala deposits in the northwest corner of the 1,162km2 land package. Shanta Gold is currently infill drilling to advance the project to prefeasibility and, subject to a positive investment decision, anticipates initial production in 2025. Recent drilling results have yielded numerous high-grade intervals including 4.0 meters grading 706.3 g/t gold and 6.0 meters grading 219.5 g/t gol...