25 Jul Goldcorp-Kaminak deal finalised
Goldcorp. Inc. (TSX:G) finalised the acquisition of Canada’s Kaminak Gold Corp. (TSX:KAM) this week and in addition will acquire a 20% stake in Independence Gold Corp.
Both companies have properties in the Yukon Territory.
Goldcorp finalised a US$520 million agreement to purchase all of the Kaminak shares at $2.62 per share through an all share deal in which Kaminak’s shareholders received 20,997,312 Goldcorp shares earlier this week.
Kaminak became a central takeover target in January after it reported a feasibility study on its high-grade Coffee Gold project in the Yukon that suggested the mine would be paid for in only two years. The company estimated gold production of 1.9 million ounces during the mine’s life.
David Garofalo, CEO of Goldcorp said: “With a large, geologically prospective land package in a mining friendly jurisdiction, the Coffee project has the potential to grow into a camp to deliver long-term significant sustainable value for our partners and stakeholders.
“Kaminak has done an excellent job engaging with First Nations throughout the initial exploration phases, which will serve as a solid foundation for us to build upon as the project enters the next phase of development.”
Kaminak is not the only Vancouver miner that Goldcorp is buying. On 20 July, Goldcorp announced it will purchase a 19.9% stake in Independence Gold Corp. for $1.5 million. Independence has properties in British Columbia and the Yukon Territory.