Core Insights - Osisko Development Corp. reported its financial and operational results for Q2 2025, highlighting significant developments in its Cariboo Gold Project and other projects [1][2]. Financial Performance - The company had approximately CAD 46.3 million in cash and cash equivalents as of June 30, 2025 [6]. - Revenues for Q2 2025 were CAD 6.9 million, compared to CAD 2.6 million in Q2 2024, with a cost of sales of CAD 4.1 million [6]. Cariboo Gold Project - The 2025 Feasibility Study (FS) for the Cariboo Gold Project indicates a net present value (NPV) of CAD 943 million at a gold price of USD 2,400 per ounce, with an internal rate of return (IRR) of 22.1% [4][6]. - The project is expected to produce an average of 190,000 ounces of gold annually over a 10-year mine life, totaling 1.89 million ounces [6]. - The average all-in sustaining cost (AISC) is projected at USD 1,157 per ounce [4]. Tintic Project - The Tintic Project remains in care and maintenance, with limited activities expected to continue [8][6]. - The company is evaluating options for the next steps at the Tintic Project while focusing on the Cariboo Gold Project [6]. Strategic Developments - The company has entered into a credit agreement for a senior secured project loan credit facility totaling USD 450 million for the Cariboo Gold Project [15]. - A private placement is expected to generate approximately USD 195 million, which will support the development of the Cariboo Gold Project [16]. Upcoming Milestones - Key upcoming expenditures for the Cariboo Gold Project include CAD 3.1 million for underground development and CAD 5.9 million for Bonanza Ledge construction, both expected to be completed in Q4 2025 [11][12]. Operational Updates - A small-scale heap leach project at the Tintic Project sold 1,393 gold ounces in Q2 2025, with operations anticipated to continue into Q4 2025 [6][8]. - The company has completed a 13,000-meter infill drill program to inform resource modeling and mine planning [6]. Corporate Governance - Ms. Susan Craig was appointed as an independent director to the company's board on June 16, 2025 [6]. Technical Reports - The 2025 FS was prepared in accordance with NI 43-101 standards and outlines strong economic indicators for the Cariboo Gold Project [6][19].

[Financial Statements](index=2&type=section&id=Financial%20Statements) [Consolidated Statements of Financial Position](index=2&type=section&id=Consolidated%20Statements%20of%20Financial%20Position) As of June 30, 2025, the company's financial position shows a significant decrease in cash and cash equivalents to $46.3 million from $106.7 million at year-end 2024, with total assets declining to $783.7 million from $856.9 million, while total liabilities increased, driven primarily by a rise in the warrant liability to $88.6 million, leading to a reduction in total equity to $484.8 million from $570.6 million Key Balance Sheet Items (in thousands of Canadian dollars) | Account | June 30, 2025 | December 31, 2024 | Change | | :--- | :--- | :--- | :--- | | Cash and cash equivalents | $46,298 | $106,653 | -$60,355 | | Total Current Assets | $62,112 | $123,250 | -$61,138 | | Mining interests | $493,299 | $506,670 | -$13,371 | | Total Assets | $783,738 | $856,902 | -$73,164 | | Total Current Liabilities | $158,759 | $144,501 | +$14,258 | | Warrant liability | $88,578 | $67,852 | +$20,726 | | Total Liabilities | $298,905 | $286,273 | +$12,632 | | Total Equity | $484,833 | $570,629 | -$85,796 | - The company reported a negative working capital of **$96.6 million** as of June 30, 2025, a key factor in the going concern assessment[15](index=15&type=chunk) [Consolidated Statements of Loss](index=3&type=section&id=Consolidated%20Statements%20of%20Loss) For the six months ended June 30, 2025, the company's net loss significantly widened to $84.7 million from $36.7 million in the prior year period, driven by higher operating costs, a $25.8 million asset impairment charge, and a $23.9 million negative change in the fair value of the warrant liability, while revenues increased to $6.9 million from $4.4 million year-over-year Performance Summary for the Six Months Ended June 30 (in thousands of Canadian dollars) | Metric | 2025 | 2024 | Change | | :--- | :--- | :--- | :--- | | Revenues | $6,859 | $4,399 | +55.9% | | Operating loss | ($61,218) | ($33,956) | +80.3% | | Impairment of assets | ($25,793) | ($5,438) | +374.3% | | Change in fair value of warrant liability | ($23,903) | $10,045 | Negative Swing | | Net loss | ($84,734) | ($36,668) | +131.0% | | Basic and diluted net loss per share | ($0.62) | ($0.43) | +44.2% | [Consolidated Statements of Comprehensive Loss](index=4&type=section&id=Consolidated%20Statements%20of%20Comprehensive%20Loss) The company reported a comprehensive loss of $91.2 million for the six months ended June 30, 2025, a substantial increase from the $35.3 million loss in the same period of 2024, primarily due to the higher net loss of $84.7 million, compounded by a $6.5 million other comprehensive loss, which included negative currency translation adjustments Comprehensive Loss for the Six Months Ended June 30 (in thousands of Canadian dollars) | Item | 2025 | 2024 | | :--- | :--- | :--- | | Net loss | (84,734) | (36,668) | | Other comprehensive (loss) income | (6,456) | 1,385 | | **Comprehensive loss** | **(91,190)** | **(35,283)** | [Consolidated Statements of Cash Flows](index=5&type=section&id=Consolidated%20Statements%20of%20Cash%20Flows) For the six months ended June 30, 2025, cash used in operating activities was $33.1 million, and cash used in investing activities was $27.7 million, primarily for additions to mining interests, resulting in a total decrease in cash of $60.4 million and an ending cash balance of $46.3 million Cash Flow Summary for the Six Months Ended June 30 (in thousands of Canadian dollars) | Cash Flow Activity | 2025 | 2024 | | :--- | :--- | :--- | | Net cash flows used in operating activities | ($33,089) | ($22,308) | | Net cash flows used in investing activities | ($27,705) | ($16,412) | | Net cash flows (used in) provided by financing activities | ($2,752) | $27,569 | | **Decrease in cash and cash equivalents** | **($60,355)** | **($9,775)** | | Cash and cash equivalents – End of period | $46,298 | $33,680 | [Consolidated Statements of Changes in Equity](index=6&type=section&id=Consolidated%20Statements%20of%20Changes%20in%20Equity) Total equity decreased from $570.6 million at the beginning of 2025 to $484.8 million at June 30, 2025, primarily driven by the comprehensive loss of $91.2 million for the period, partially offset by equity issued for deferred consideration and share-based compensation - The company's deficit increased from **$598.3 million** to **$683.1 million** during the first six months of 2025 due to the net loss of $84.7 million[8](index=8&type=chunk) - Share capital increased by **$3.7 million**, mainly from shares issued for the settlement of deferred consideration (**$3.4 million**)[8](index=8&type=chunk) [Notes to the Consolidated Financial Statements](index=8&type=section&id=Notes%20to%20the%20Consolidated%20Financial%20Statements) [Note 1: Nature of operations and going concern](index=8&type=section&id=Note%201%3A%20Nature%20of%20operations%20and%20going%20concern) The company is a mineral exploration and development firm focused on projects in North America, with management identifying material uncertainties that cast substantial doubt on its ability to continue as a going concern, given a negative working capital of **$96.6 million** and an accumulated deficit of **$683.1 million** as of June 30, 2025, making its continued operations dependent on securing additional financing - The company's financial statements have been prepared on a going concern basis, but management acknowledges material uncertainties related to its ability to continue operations[15](index=15&type=chunk)[16](index=16&type=chunk) - Key projects include the Cariboo Gold Project (BC), San Antonio Gold Project (Mexico), and Trixie Test Mine (USA)[13](index=13&type=chunk) - Future operations depend on securing additional financing through asset sales, project debt, offtake/royalty financing, or capital markets; failure to do so may require curtailing planned activities[17](index=17&type=chunk) [Note 4: Mining interests](index=9&type=section&id=Note%204%3A%20Mining%20interests) The net book value of mining interests decreased to $493.3 million from $506.7 million, primarily due to a significant impairment charge of **$25.3 million** recorded on the QR Mill during the first quarter of 2025, following an optimized feasibility study for the Cariboo Gold Project which removed the need for the mill, resulting in the QR Mill's net book value being fully written off - An impairment charge of **$25.3 million** was recorded on mining interests related to the QR Mill in Q1 2025[21](index=21&type=chunk)[25](index=25&type=chunk) - The impairment was triggered by an optimized feasibility study for the Cariboo Gold Project that eliminated the need to transport concentrate to the QR Mill[25](index=25&type=chunk) [Note 7: Long-term debt and credit facility](index=12&type=section&id=Note%207%3A%20Long-term%20debt%20and%20credit%20facility) As of June 30, 2025, total long-term debt and credit facility stood at $43.2 million, with $37.0 million classified as current, including a **US$50 million** credit facility designated for the Cariboo gold project, of which the outstanding **US$25 million** was repaid subsequent to the quarter-end using proceeds from a new financing facility Debt Balance (in thousands of Canadian dollars) | Category | June 30, 2025 | Dec 31, 2024 | | :--- | :--- | :--- | | Current portion | 37,037 | 40,314 | | Non-current portion | 6,155 | 5,503 | | **Total** | **43,192** | **45,817** | - The **US$50 million** Credit Facility matures on October 31, 2025, and the outstanding **US$25 million** was repaid on July 21, 2025[29](index=29&type=chunk)[32](index=32&type=chunk) [Note 9: Warrants](index=13&type=section&id=Note%209%3A%20Warrants) Certain warrants exercisable in U.S. dollars are classified as a financial liability and measured at fair value, with the warrant liability increasing to $88.6 million at June 30, 2025, from $67.9 million at year-end 2024, resulting in a $23.9 million charge to the statement of loss for the six-month period due to the change in fair value Warrant Liability Movement (in thousands of Canadian dollars) | Period | Balance – Beginning of period | Change in fair value | Balance – End of period | | :--- | :--- | :--- | :--- | | H1 2025 | $67,852 | $23,903 | $88,578 | - The warrants are revalued at each reporting period using the Black-Scholes model, with changes in fair value recognized in the income statement[35](index=35&type=chunk) [Note 13: Segmented information](index=18&type=section&id=Note%2013%3A%20Segmented%20information) The company's operations are segmented geographically across Canada, Mexico, and the USA, with Canada being the largest contributor to the operating loss at $55.3 million for the six months ended June 30, 2025, primarily due to a $25.8 million asset impairment, while the USA was the sole source of revenue at $6.9 million Operating Loss by Segment for Six Months Ended June 30, 2025 (in thousands of Canadian dollars) | Segment | Revenues | Impairment of assets | Operating loss | | :--- | :--- | :--- | :--- | | Canada | $— | ($25,793) | ($55,339) | | Mexico | $— | $— | ($4,057) | | USA | $6,859 | $— | ($1,822) | | **Total** | **$6,859** | **($25,793)** | **($61,218)** | Non-Current Assets by Segment as of June 30, 2025 (in thousands of Canadian dollars) | Segment | Non-Current Assets (excluding investments) | | :--- | :--- | | Canada | $504,996 | | Mexico | $48,739 | | USA | $142,999 | | **Total** | **$696,734** | [Note 15: Subsequent events](index=20&type=section&id=Note%2015%3A%20Subsequent%20events) Subsequent to the quarter-end, the company secured significant financing to address its liquidity needs and fund the Cariboo Gold Project, including a **US$450 million** senior secured project loan facility, of which an initial **US$100 million** was drawn, and planned private placements for aggregate gross proceeds of up to **US$195 million** - On July 21, 2025, the company entered into a **US$450 million** credit facility with Appian Capital for the Cariboo Gold Project, with an initial draw of **US$100 million**[49](index=49&type=chunk) - On July 31, 2025, the company announced a "bought deal" private placement for gross proceeds of **US$120 million**[50](index=50&type=chunk) - Concurrently, a non-brokered private placement with a strategic investor was arranged for gross proceeds of **US$75 million**[52](index=52&type=chunk)

Core Viewpoint - Osisko Development Corp. has announced a private placement offering to raise approximately US$120 million to fund the Cariboo Gold Project and general corporate purposes [1][5]. Group 1: Offering Details - The company will issue 58,560,000 units at a price of US$2.05 per unit, resulting in gross proceeds of US$120,048,000 [1]. - Each unit consists of one common share and one-half of a common share purchase warrant, with the warrants exercisable at US$2.56 for 24 months [2]. - The underwriters have an option to purchase an additional 2,440,000 units, bringing the total offering size to a maximum of US$125 million [3]. Group 2: Strategic Investor Participation - Concurrently, the company plans a non-brokered private placement of 36,600,000 units to a strategic investor for gross proceeds of US$75,030,000 [4]. - An investor rights and voting support agreement will be established with the strategic investor, allowing them to identify a director for the company board [4]. Group 3: Use of Proceeds - The net proceeds from both the offering and the non-brokered private placement will be used to fund the equity portion of the Cariboo Gold Project and for general corporate purposes [5]. - The company anticipates that these funds, along with a US$450 million project loan credit facility, will be sufficient to construct the Cariboo Gold Project [5]. Group 4: Timeline and Regulatory Approvals - The offering is expected to close around August 15, 2025, pending necessary regulatory approvals from the TSX Venture Exchange and the New York Stock Exchange [6].

Core Viewpoint - Osisko Development Corp. has secured a US$450 million senior secured project loan credit facility from Appian Capital Advisory Limited to advance the Cariboo Gold Project in British Columbia, Canada [2][4]. Financing Details - The credit facility consists of two tranches, with an initial draw of US$100 million completed to support pre-construction activities, including a 13,000-meter infill drill campaign and repayment of an existing US$25 million term loan [3][6]. - Subsequent draws totaling US$350 million will be available based on the achievement of certain project milestones and conditions [6][7]. - The facility enhances financial flexibility and is structured to support the project's development timeline [3][4]. Project Overview - The Cariboo Gold Project is a 100%-owned asset by Osisko Development, located in a stable jurisdiction with significant mineral potential [4][10]. - The project aims to advance towards a formal investment decision and construction readiness, with a focus on becoming a major Canadian gold producer [4][13]. Strategic Partnership - Appian Capital's involvement as a cornerstone investor is seen as a strong endorsement of the Cariboo Gold Project, reflecting confidence in the management team and the project's potential [4][10]. - Appian's investment strategy aligns with the project's characteristics, including its robust mineral base and experienced management [4][10]. Credit Facility Terms - The credit facility matures on July 21, 2033, with interest rates tied to the 3-month Secured Overnight Financing Rate (SOFR) plus a margin [12]. - The facility includes provisions for repayment of existing debt and funding for ongoing project activities [12][6]. - Osisko Development will grant Appian 5,625,031 non-transferable common share purchase warrants as part of the agreement [12].

Core Insights - Osisko Development Corp. announced positive results from an ore sorting testing program at its Cariboo Gold Project, indicating gold recoveries and upgrade ratios consistent with the 2025 feasibility study (FS) assumptions [2][5][12] - The testing program utilized a significantly larger sample size compared to previous tests, with a focus on optimizing the processing flowsheet [4][5] - Notably, the previously untested 6–10 mm size fraction showed a gold recovery of 92% and a mass pull of 41%, suggesting potential for further optimization [2][5][9] Summary by Sections Highlights - The ore sorting test results align with the 2025 FS assumptions, demonstrating effective gold recovery rates across various particle sizes [2][5] - The 6–10 mm size fraction, previously unassessed, achieved a gold recovery of 92% [2][5] Testing Methodology - The testwork was conducted on a bulk sample of approximately 80 tonnes, utilizing an x-ray transmission sensor (XRT) to evaluate the material [2][5][9] - The program aimed to optimize ore sorting parameters and validate the processing flowsheet [4][5] Results Overview - The 10–30 mm size fraction achieved a gold recovery of 89% with a mass pull of 45%, while the 30–70 mm size fraction achieved 84% recovery with a mass pull of 58% [2][5] - The 6–10 mm size fraction demonstrated a 92% gold recovery with a 41% mass pull, indicating a significant opportunity for optimization [2][5][9] Project Background - The Cariboo Gold Project is a permitted, 100%-owned feasibility-stage project located in central British Columbia, covering approximately 186,740 hectares [11][12] - The project hosts probable mineral reserves of 2.07 million ounces of gold and has received necessary permits for development [11][12] Next Steps - The company plans to conduct further optimization work, including a variability study to refine sorting assumptions across the deposit [5][9]

Core Insights - Osisko Development Corp. announced positive results from an ore sorting testing program at its Cariboo Gold Project, confirming gold recoveries and upgrade ratios consistent with the 2025 feasibility study (FS) assumptions [2][5][12] Summary by Sections Ore Sorting Test Results - The ore sorting testwork demonstrated gold recoveries of 84-95% across various particle sizes, with a mass pull of 41-58% and upgrade ratios ranging from 1.96 to 2.23, aligning with the 2025 FS assumptions [2][5][6] - Notably, the previously untested 6-10 mm size fraction showed a 95% gold recovery with a 41% mass pull, indicating potential for future optimization [5][11] Methodology and Observations - The test utilized a production-scale TOMRA COM 1200 Tertiary XRT machine on a ~80 tonne sample, significantly larger than previous tests which totaled ~5 tonnes [2][5][11] - The testing process involved a cascade-style approach, adjusting sorter settings to optimize mass pull and recovery, leveraging recent advancements in AI technology [11][12] Project Overview - The Cariboo Gold Project is a permitted, 100%-owned feasibility-stage project located in central British Columbia, covering approximately 186,740 hectares with significant mineral reserves and resources [12][13] - The project hosts probable mineral reserves of 2.07 million ounces of gold and various measured, indicated, and inferred resources totaling over 10 million ounces [13] Next Steps and Opportunities - The company plans to conduct further flowsheet optimization and a variability study as part of detailed engineering to refine sorting assumptions across the deposit [5][11] - The positive results from the ore sorting tests may lead to enhanced overall recoveries and improved project economics [5][11]

Core Insights - Osisko Development is advancing one of Canada's only fully permitted gold development projects, indicating a strong position in the market [1] - A recently updated feasibility study shows strong economic returns at current gold prices, supporting the company's construction and long-term production plans [1] - The project is expected to create hundreds of direct and indirect jobs, enhancing Osisko Development's role in Canada's resource economy [1]

Cariboo Gold Project Highlights - Cariboo Gold Project has probable reserves of 2071 koz Au (17815 kt grading 362 g/t Au)[25, 44] - Cariboo Gold Project has measured resources of 8 koz Au (47 kt grading 506 g/t Au), indicated resources of 1604 koz Au (17332 kt grading 288 g/t Au), and inferred resources of 1864 koz Au (18774 kt grading 309 g/t Au)[25, 44] - The optimized feasibility study envisions a 10-year mine life with a base case after-tax NPV5% of $943 million and IRR of 221%[45] - The Cariboo Gold Project is expected to produce an average of 190 koz of gold per year over the life of mine, with 202 koz per year in the first 5 years[47] - The all-in sustaining cost (AISC) for the Cariboo Gold Project is estimated at US$1157/oz, and total cash cost is US$947/oz[47] - The initial capital expenditure for the Cariboo Gold Project is estimated at $881 million[47] Tintic Project Highlights - Tintic Project's Trixie deposit has measured resources of 105 koz Au (120 kt grading 2736 g/t Au) and 238 koz Ag (120 kt grading 6173 g/t Ag)[24, 139] - Tintic Project's Trixie deposit has indicated resources of 45 koz Au (125 kt grading 1117 g/t Au) and 240 koz Ag (125 kt grading 5989 g/t Ag)[24, 139] - Tintic Project's Trixie deposit has inferred resources of 51 koz Au (202 kt grading 780 g/t Au) and 315 koz Ag (202 kt grading 4855 g/t Ag)[24, 139] Capital Structure - Osisko Development Corp has a basic market capitalization of C$4178 million, with C$776 million in cash and cash equivalents[30]

Company Overview - Osisko Development Corp. is a North American gold development company focused on past-producing mining camps in mining-friendly jurisdictions with district-scale potential [5] - The company's objective is to become an intermediate gold producer by advancing its flagship Cariboo Gold Project in central British Columbia, Canada [5] - The project pipeline includes the Tintic Project in Utah, U.S.A., and the San Antonio Gold Project in Sonora, Mexico, both of which have significant exploration potential and access to existing infrastructure [5] Appointment of New Director - Ms. Susan Craig has been appointed as an independent director to the board of Osisko Development effective immediately [1] - Her experience includes over 35 years in the mining industry, focusing on regulatory, environmental, social, Indigenous, and community relations [2][4] - Craig's leadership in navigating high-profile projects through regulatory frameworks aligns with the company's values and strategic direction [2] Experience and Contributions - Ms. Craig has played a pivotal role in advancing projects through complex environmental assessment processes, including the 2004 EA process for NovaGold's Galore Creek project [3] - She has established landmark agreements with Indigenous nations and has been involved in socio-economic accords in Canada [3] - Craig has held senior leadership roles and has served on various boards, including the Yukon Energy Corporation and the Mining Association of BC [4] Recognition and Awards - Ms. Craig has received multiple industry awards for her leadership in sustainable development, including the 2017 Canadian Women in Mining Trailblazer Award [4] - She is recognized as a longstanding advocate for responsible mining practices [4]

Core Viewpoint - Osisko Development Corp. has filed a new technical report for its Cariboo Gold Project, highlighting the results of the 2025 feasibility study, which indicates significant economic potential for the project [1][3]. Group 1: Technical Report Details - The technical report is titled "NI 43-101 Technical Report, Feasibility Study for the Cariboo Gold Project" and is dated June 11, 2025, with an effective date of April 25, 2025 [2]. - The report was prepared by independent consultants from BBA Engineering Ltd. and supported by various other independent engineering firms, all of whom are qualified persons under NI 43-101 [2]. - The new technical report supersedes a previous report dated January 12, 2023, which is no longer reliable [4]. Group 2: Economic Highlights - The feasibility study indicates an after-tax NPV5% of C$943 million and an internal rate of return (IRR) of 22.1% at a base case gold price of US$2,400 per ounce [3]. - At a spot gold price of US$3,300 per ounce, the after-tax NPV5% increases to C$2.1 billion with an IRR of 38.0% [3]. Group 3: Company Overview - Osisko Development Corp. is focused on developing gold projects in mining-friendly jurisdictions, with the Cariboo Gold Project being its flagship asset [6]. - The company aims to become an intermediate gold producer and has additional projects in Utah and Mexico, which have significant exploration potential [6].