(Toronto, February 22, 2023) Osisko Mining Inc. (OSK:TSX. “Osisko” or the “Corporation”) provides the following corporate update.
The Corporation continues to advance work on the Windfall project and surrounding properties, with 15 rigs in total active underground and at surface, performing a combination of infill and exploratory drilling. Detailed engineering has commenced for the planned Windfall operations with the objective of optimizing design and capital expenditures.
The exploration ramp is currently at 640 metres vertical depth, and over 13 kilometres length underground. Nine drills are active on the exploration ramp, and the advance towards the fourth bulk sample (the 800 metre level Lynx 4 sample) is planned to resume in H2 2023.
Osisko is also working towards the conclusion of the definitive agreement with Miyuukaa Corp. (“Miyuukaa”), a wholly-owned corporation of the Cree First Nation of Waswanipi (“CFNW”), with respect to the construction of proposed transmission facilities and the transport of hydroelectric power to the Windfall project. The Kuikuhaacheu transmission line from the Waswanipi substation to Windfall is located 100% on CFNW traditional lands covered by the James Bay Northern Québec Agreement. Finalization of the definitive agreement is expected before the end of this month.
The Corporation remains on schedule to submit its Environmental Impact Assessment report for Windfall (“EIA”) to the Environmental and Social Impact Review Committee (“COMEX”) in Q1 2023. The Corporation also anticipates finalizing the Impact and Benefit Agreement with the Cree First Nation of Waswanipi and the Cree Nation Government before year end 2023.
The Corporation has also begun to receive pre-ordered mill components at the port of Bécancour, Québec. Equipment is being kept in a dry and heated storage facility until required at the Windfall site.
Having completed its Feasibility Study, Osisko has begun the process of reviewing its financing options for the Windfall mine, including ongoing discussions with potential lenders and other strategic alternatives, which may include public and private debt facilities, strategic alliances, partnerships, joint ventures, and other strategic alternatives. Osisko will only provide updates on any such alternatives that advance to the point of requiring disclosure. There can be no assurances that any such arrangements can be agreed on terms acceptable to Osisko.
The recently announced “bought-deal” private placement financing (please see Osisko news release dated February 6th, 2023) is expected to close on February 28th.
The scientific and technical content in this news release has been reviewed and approved by Mr. Mathieu Savard, P.Geo (OGQ #510), President of Osisko, who is a “qualified person” (within the meaning of NI 43-101).