Osisko Mining to acquire Beaufield Resources
Osisko Mining (TSX: OSK) will acquire all remaining shares of the Canadian exploration company, Beaufield Resources (TSX-V: BFD).
Osisko, which announced the purchase plan yesterday, says Beaufield shareholders will receive 0.0482 of a common share of Osisko in exchange for each Beaufield share held. Osisko says the price is a premium of approximately 54% based on the 20-day volume weighted average price of both companies’ common shares. Osisko already holds 26% of Beaufield.
In an analyst's note Haywood Resources notes that Beaufield, which owns projects throughout Ontario and Quebec, most notably owns the Urban-Windfall project that is located adjacent to Osisko’s Windfall/Lynx project.
According to Osisko's website, Windfall Lake Gold project is located in Quebec, approximately 200 kilometres northeast of Val-d’Or. A mineral resource update completed by SRK (Canada) in November 2014 estimated 748,000 ounces of gold at 8.42 g/t gold in the indicated category, and 860,000 ounces of gold at 7.62 g/t gold in the inferred category.
Creative Commons image of a prospecters’ and miners’ camp in Val d'Or courtesy of BiblioArchives / LibraryArchives