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Construction|Gold|PROJECT|Underground
Construction|Gold|PROJECT|Underground
construction|gold|project|underground

Osisko Development raises $203m to fund Cariboo gold project

The Cariboo gold project

The Cariboo gold project

19th August 2025

By: Creamer Media Reporter

     

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NYSE- and TSX-V-listed Osisko Development on Friday closed a $203-million private placement to fund its Cariboo gold project in Canada.

The offering comprised 99.1-million units priced at $2.05 each. Of these, 58.6-million units were sold through a brokered deal raising about $120-million, while 40.5-million units were sold in a non-brokered placement generating about $83-million.

Double Zero Capital, a Delaware investment firm, subscribed for about $75-million, representing 15% of Osisko’s outstanding common shares following the deal.

Each unit includes one common share and one-half of a warrant, with each full warrant allowing the purchase of an additional share at $2.56 until August 15, 2027. Warrants may be accelerated if the company’s share price exceeds the exercise price for 20 consecutive trading days.

Osisko said net proceeds would fund the equity portion of capital for the Cariboo gold project and for general corporate purposes. Combined with a previously announced $450-million project loan from Appian Capital Advisory and other potential financing arrangements, the company expects sufficient funding to complete construction.

The Cariboo project, which is fully permitted and 100%-owned by Osisko, recently underwent an updated feasibility study.

The 2025 feasibility study outlines a low-impact underground operation with average life-of-mine gold production of 190 000 oz/y and a 22.1% after-tax internal rate of return at a base case gold price of $2 400/oz. 

The 2025 capital expenditure estimate increased to C$1.41-billion, from the 2023 feasibility study estimate of C$1.12-billion.

The average all-in sustaining cost is projected at $1 157/oz.

Edited by Creamer Media Reporter

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