TORONTO, Sept. 18, 2015 /PRNewswire/ - AuRico Metals
Inc. (TSX: AMI), ("AuRico" or the "Company") is pleased to
announce the closing of the previously announced acquisition of
Mineral Streams Inc. ("Mineral Streams"), a private company owning
a 0.25% NSR royalty on the Williams mine at Barrick Gold
Corporation's ("Barrick") Hemlo
complex, a 0.5% NSR royalty on Wesdome Gold Mines Ltd.'s
Eagle River mine, and a 1.5% NSR
royalty on Barrick's David Bell
property, which also forms part of the Hemlo complex.
Upon closing, all of the issued and outstanding shares of
Mineral Streams were acquired in exchange for 4,753,950 shares of
AuRico and C$3,425,000 in cash. The
assets acquired from Mineral Streams include positive working
capital of approximately C$1 million
and the acquired royalties are anticipated to generate
approximately C$1 million per year in
royalty income assuming current metal prices and assuming
production levels consistent with recent performance at the
underlying operations.
Following completion of the acquisition, the Company has
130,873,950 shares issued and outstanding listed on the Toronto
Stock Exchange.
About AuRico Metals
AuRico Metals is a mining royalty and development company whose
royalty assets include a 1.5% NSR on the Young-Davidson Gold Mine,
a 0.25% NSR on the Williams mine at Hemlo, and a 0.5% NSR on the Eagle River mine
– all located in Ontario, Canada.
AuRico Metals also has a 2% NSR on the Fosterville Mine, located in
Victoria, Australia, and 100%
ownership of the advanced Kemess Project in British Columbia, Canada. AuRico Metals' goal
is to deliver sustained value creation for the company's many
stakeholders. AuRico Metals' head office is located in Toronto, Ontario, Canada.
Cautionary Statement
This press release contains forward-looking
statements and forward-looking information as defined under
Canadian and U.S. securities laws. All statements, other than
statements of historical fact, are forward-looking statements. The
words "expect", "believe", "anticipate", "will", "intend",
"estimate", "forecast", "budget" and similar expressions identify
forward-looking statements. Forward-looking statements include
information as to strategy, plans or future financial or operating
performance, such as the Company's expansion plans, project
timelines, production plans, projected cash flows or capital
expenditures, cost estimates, projected exploration results,
reserve and resource estimates and other statements that express
management's expectations or estimates of future performance.
Forward-looking statements are necessarily based upon a number of
factors and assumptions that, while considered reasonable by
management, are inherently subject to significant uncertainties and
contingencies. Known and unknown factors could cause actual results
to differ materially from those projected in the forward-looking
statements, including: uncertainty of production and cost
estimates; fluctuations in the price of gold and foreign exchange
rates; the uncertainty of replacing depleted reserves and the
possible recalculation or reduction of reserves and resources; the
risk that the Young-Davidson shaft will not perform as planned;
the risk that mining operations do not meet expectations; the risk
that projects will not be developed according to budgets or
timelines, changes in laws in Canada, Australia and other jurisdictions in which the
Company may carry on business; risks of obtaining necessary
licenses, permits or approvals for operations or projects such as
Kemess; disputes over title to properties; the speculative nature
of mineral exploration and development; compliance risks with
respect to current and future environmental regulations;
disruptions affecting operations; opportunities that may be pursued
by the Company; employee relations; availability and costs of
mining inputs and labor; the ability to secure capital to execute
business plans; volatility of the Company's share price; the effect
of future financings; litigation; risk of loss due to sabotage and
civil disturbances; the values of assets and liabilities based on
projected future cash flows; risks arising from derivative
instruments or the absence of hedging; adequacy of internal control
over financial reporting; changes in credit rating; risks related
to the operation of the properties in which AuRico Metals holds a
royalty; and the impact of inflation. Actual results and
developments are likely to differ, and may differ materially, from
those expressed or implied by the forward-looking statements
contained herein. Such statements are based on a number of
assumptions which may prove to be incorrect, including assumptions
about: business and economic conditions; commodity prices and the
price of key inputs such as labour, fuel and electricity; credit
market conditions and conditions in financial markets generally;
the ongoing operation of the properties in which AuRico Metals
holds a royalty by the operators of such underlying properties;
revenue and cash flow estimates, production levels, development
schedules and the associated costs; ability to procure equipment
and supplies and ability to do so on a timely basis; the timing of
the receipt of permits and other approvals for projects and
operations; the ability to attract and retain skilled employees and
contractors for the operations; the accuracy of reserve and
resource estimates; the impact of changes in currency exchange
rates on costs and results; interest rates; taxation; and ongoing
relations with employees and business partners. However, there
can be no assurance that forward looking statements will prove to
be accurate, as actual results and future events could differ
materially from those anticipated in such statements and investors
are cautioned that forward looking statements are not guarantees of
future performance. AuRico Metals cannot assure investors that
actual results will be consistent with these forward looking
statements. Accordingly, investors should not place undue reliance
on forward looking statements due to the inherent uncertainty
therein. The Company disclaims any intention or obligation to
update or revise any forward-looking statements whether as a result
of new information, future events or otherwise, except as required
by applicable law.
SOURCE AuRico Metals
