Orion Buys Osisko Gold Royalties Stake in Aquila Resources.
M2 EQUITYBITES-July 5, 2019-Orion Buys Osisko Gold Royalties Stake in Aquila Resources
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5 July 2019 - Canadian miner Aquila Resources Inc.'s (TSX: AQA) (OTCQB: AQARF) two largest shareholders, Orion Mine Finance (and its affiliated funds) and Osisko Gold Royalties Ltd. have completed a transaction whereby Orion purchased from Osisko all 49,651,857 common shares of the company owned by Osisko, the company said.
The transaction is a small component of the share repurchase and secondary offering transaction first announced by Osisko on June 25, 2019. Orion now owns 97,030,609 common shares of Aquila representing approximately 28.7% of the outstanding common shares.
Osisko remains a significant financial partner to Aquila as the holder of gold and silver streams on the company's Back Forty Project in Michigan as well as 12,293,269 common share purchase warrants that are exercisable until May 10, 2020at a price of CDN 0.34.
Under its gold streaming agreement with the company, Osisko remains committed to funding an additional USD 40m in staged payments to continue the development of the Back Forty Project.
Aquila Resources is a development-stage company with strategic assets in the Great Lakes Region. The company's experienced management team is focused on advancing pre-construction activities for its 100%-owned zinc- and gold-rich Back Forty Project in Michigan.
Aquila's flagship Back Forty Project is an open pit volcanogenic massive sulfide deposit with underground potential located along the mineral-rich Penokean Volcanic Belt in Michigan's Upper Peninsula.
The project contains approximately 1.1B pounds of zinc and 1M ounces of gold in the Measured and Indicated Mineral Resource categories, with additional upside potential.
Aquila has received all State and Federal permissions required for the construction and commencement of operations at the Back Forty Project.
The company has two other exploration projects: Reef Gold Project located in Marathon County, Wisconsin and the Bend Project located in Taylor County, Wisconsin. Reef is a gold-copper property and Bend is a volcanogenic massive sulfide occurrence containing copper and gold.
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|Publication:||M2 EquityBites (EQB)|
|Date:||Jul 5, 2019|
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