Goldcorp-Kaminak deal sealed

Coffee project in the Canadian Yukon expected to yield 1.9 million ounces

Goldcorp. Inc. (TSX:G) finalized the acquisition of Vancouver junior miner Kaminak Gold Corp. (TSX-V: KAM:) this week, and is also moving to acquire a 20% stake in Vancouver junior, Independence Gold Corp.

Both have gold properties in the Yukon.

Earlier this week, Goldcorp finalized a $520 million deal to acquire all of Kaminak shares at $2.62 per share through an all share deal in which Kaminak’s shareholders received 20,997,312 Goldcorp shares.

Kaminak became a prime takeover target in January after it announced a feasibility study on its high-grade Coffee Gold project in the Yukon that suggested the mine would be paid for in just two years. Kaminak estimated gold production of 1.9 million ounces over the life of the mine.

"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,” Goldcorp CEO David Garofalo said.

“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 was backed by ming financiers Ross Beaty and Lukas Lundin and headed by CEO Eira Thomas,who co-founded Stornoway Ventures Ltd. – now Stornoway Diamond Corp. (TSX:SWY) – and was also a co-founder of Lucara Diamond Corp. (TSX:LUC).

Kaminak is not the only Vancouver gold miner with assets in the Yukon that Goldcorp is buying.

On Wednesday, July 20, Goldcorp announced it will acquire a 19.9% stake in Independence Gold Corp. for $1.5 million. Independence has properties in B.C. and the Yukon.

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