Gold Fields has received all regulatory approvals and support from shareholders to complete the acquisition of Osisko Mining and its main asset, the Windfall gold project in Québec.
The company has paid $1.39 billion in cash and $750 million as liquidity facility to close the transaction. The deal allows Gold Fields to consolidate the ownership of the Windfall project that the two companies have been jointly developing on a 50/50 basis.
Windfall’s proven and probable reserves amount to 3.2 million ounces of gold, measured and estimated resources stand at 4.1 million ounces, and inferred resources at 3.3 million ounces. According to the preliminary feasibility study, gold production at the project could reach 306,000 ounces per year.
“Deposits of the scale and quality of Windfall with highly prospective exploration camps are rare, particularly in a world-class jurisdiction like Québec, Canada. This transaction therefore marks an important step in our journey to continue improving the quality of our portfolio. The key members of the Windfall team are remaining with the project,” said Gold Fields CEO Mike Fraser.
Both companies have made significant investments in the Windfall project, totalling more than $720 million. The current focus for the project is obtaining environmental permitting for full scale construction and ongoing engagement with local communities, among others, for the finalisation of an Impact Benefit Agreement with the indigenous communities.
Theodor Lisovoy, Managing Editor, Rough&Polished
