The Board of Directors of SolGold (LSE & TSX: SOLG) is pleased to announce that SolGold has completed the previously announced US$50 million royalty financing pursuant to the Royalty Financing Agreement ("Royalty Financing") with Osisko Gold Royalties Ltd ("Osisko") in relation to the Company's Cascabel copper-gold project in northern Ecuador.
Osisko has been granted a 0.6% royalty interest to be calculated by reference to net smelter returns from the Cascabel concession area in accordance with the terms and conditions set out in the Royalty Financing Agreement.
Scott Caldwell, Interim CEO of SolGold, commented:
“I would like to sincerely thank Osisko for their unwavering endorsement of SolGold and the Cascabel Project. World class deposits need many world class partners in order to achieve their maximum potential, and we are pleased to add Osisko to our list of supporters. This financing provides the Company with greater optionality going forward and is an overwhelmingly positive development for all our stakeholders. SolGold is very well-positioned to advance strategic project initiatives and accelerate exploration opportunities that hold the most significant potential to generate shareholder value.”
Sandeep Singh, President and CEO of Osisko, commented:
“Osisko is extremely pleased to partner with SolGold at this exciting time. The Cascabel project is one of very few projects of its size and quality at this stage of development, and we are pleased to be participating in the Company's future success.”
Maxit Capital LP is acting as financial advisor to SolGold.
This announcement was approved for release by Rufus Gandhi - Company Secretary.
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