Orezone Gold Completes Strategic Acquisition of Casa Berardi Gold Mine and Quebec Exploration Portfolio

Core Viewpoint - Orezone Gold Corporation has successfully acquired Hecla Quebec Inc., gaining full ownership of the Casa Berardi gold mine and a portfolio of exploration properties in Quebec, marking a strategic expansion into a Tier 1 mining jurisdiction [1][2]. Transaction Summary - The total consideration for the acquisition amounts to $352 million, with an additional contingent consideration of up to $241 million [4]. - The company paid $160 million in cash and issued 65,757,265 common shares, representing 9.9% of Orezone's post-closing shares [5]. - Deferred cash payments of $80 million are due at 18 and 30 months post-closing, with contingent payments linked to gold prices and future production from the Casa Berardi mine [5]. Transaction Financing - The acquisition is financed through Orezone's strong balance sheet and free cash flow from its Bomboré mine, with an upfront deposit of $100 million provided by Franco-Nevada Corporation as part of a gold stream agreement [6][8]. Operational Focus - Orezone's immediate focus at Casa Berardi will be to optimize operations and conduct trade-off studies to enhance underground production [3][15]. - A multi-year exploration drill program targeting 80,000 to 100,000 meters annually will commence, focusing on high-grade extensions and near-mine mineralization [3][15]. Asset Overview - The Casa Berardi mine has produced over 3.2 million ounces of gold and has established resources of 1.2 million ounces in both measured and indicated categories, as well as in proven and probable reserves [7]. - The acquisition includes additional exploration projects such as Heva-Hosco and Duverny, which have significant resource potential [7]. Future Plans - The integration of the Casa Berardi operation into Orezone is planned for 2026, with updated guidance to be provided in the second quarter [15]. - The company aims to publish an updated mine plan and economic study by the fourth quarter of 2026 [15].