Osisko Development Continues Steady March to Success

November 30, 2022

It's been a busy couple of decades for Sean Roosen, CEO of Osisko Development Corp. ("Osisko Development", "ODV" or the "Company") (TSX.V: ODV, NYSE: ODV). Back in 2003, he founded the Osisko group with partners John Burzynski and Robert Wares. Since then, they have raised over $4 billion of capital and created the Osisko group of companies, which today have combined market capitalizations of ~C$4.5 billion dollars. It's been a steady march to success that Roosen is extremely proud of. "In 2009, we built the Canadian Malartic Gold Mine, which has become the 9t largest gold mine in the world and the largest gold mine in Canada, producing over 700,000 ounces ofgold per year. We sold it in 2014 for C$3.9 billion and then created OsiskoGold Royalties Ltd (TSX & NYSE: OR), valued today at ~C$3.1 billion. And now we're working on Osisko Development, a gold development company focused on NorthAmerica, which is advancing the Cariboo Gold Project in central BritishColumbia, the recently acquired Tintic Project in Utah and the San Antonio GoldProject in Sonora, Mexico.  

Osisko Development was created in Q4 2020 following a spin-out by Osisko Gold Royalties Ltd of the Cariboo and San Antonio Gold Projects, which formed the Company and placed it among other important Canadian gold developers such as Artemis Gold Inc. (TSXV: ARTG) and Skeena Resources Limited (TSX & NYSE: SKE).

Judging from past performance, Roosen and his partners believe they have found a recipe for success. "We're focused on properties that we believe could, if successfully explored and developed, be world-class deposits with the potential capability of producing north of 200,000 ounces a year of gold or gold equivalent," Roosen said.

Initially the Osisko group was focused on gold, but in2014, it branched out to base metals through the establishment of Osisko Metals, which is focused primarily on copper and zinc.

Under Roosen's leadership, Osisko Development currently has three projects under advancement. First and foremost is their flagship Cariboo Gold property in central British Columbia. ODV has drilled more than 700 kilometers on it and recently published a technical study, which delineated 3.47 million ounces of gold (27.1 million tonnes at 4.0 g/t Au) in the measured and indicated resource category and an additional 1.62 million ounces of gold (14.4million tonnes at 3.5 g/t Au) in the inferred resources category. Most of that gold is near surface down to an average depth of about 350 meters.

"This has the potential to be a big project,"Roosen proclaimed, "with the potential for multiple mines up and down the trend. We anticipate building a central processing facility, not only to establish a mine, but to hopefully create a mining district camp. That's the ultimate goal of this project."

"The Cariboo mine camp has historically produced about 4 million ounces, and we're the first company to consolidate this land package. So, it's quite an exciting story that will be evolving for a long time to come."

According to Roosen, he believes that a significant amount of exploration upside remains at depth. Current exploration only goes down to350 meters, but the Company has intercepted significant mineralization down to950 meters. "We've only explored a small fraction of what we believe the mineralized trend to be," Roosen said. "This property comprises about2,000 square kilometers. We've spent about $500 million on the project so far, and we continue to look at it as our cornerstone asset."

The Tintic Project, acquired by Osisko Development in late-May of 2022, is located in central Utah, U.S.A., part of the historic East Tintic mining district considered by many to be one of the best mining jurisdictions in the world, which has historically produced more than 3 million ounces of gold. It's a project that Roosen can't wait to get started. "With the acquisition of Tintic, we have inherited not only a highly-prospective test mine in the Trixie project located within the wider Tintic Project, but also a large, historic land package in one of the world's premier mining jurisdictions. Through underground exploration, we hope to continue to expand the mineralization footprint along the T2 and T4 zones. We have engaged drilling contractors and look forward to sharing the results with you as we progress our understanding of this exciting project. We are also looking forward to working with, and supporting, all stakeholders and partners in our project, including the local communities in Utah and Juab counties."

At the Company's San Antonio Project in Mexico, processing of stockpiled material is underway, awaiting environmental permits. In June2022 ODV announced an initial mineral resource estimate comprising 0.58 million ounces of gold in indicated and 0.54 million ounces of gold inferred resources categories at the project.

The Company's prospects were further enhanced when ODV's common shares were recently listed on the New York Stock Exchange. "I'm quite proud to say it's the second company that I've listed on the NYSE as a CEO," Roosen shared. "This will provide us with a huge advantage, especially considering our significant shareholder base in the U.S.A. When Osisko Gold Royalties Ltd listed on the NYSE, its trading volume increased considerably and now represents 50% of the company's total trading volume."

On the financial front, Osisko Development earlier this year closed a US$119 million equity financing in one tranche and a second one of C$103 million. As of September 30, 2022, the Company's cash position was approximately C$133 million with another C$40 million held in investment holdings.

"I think I have the best job in the world,"Roosen said. "I've traveled the planet. I've worked 13 years in Africa. I've worked in Central Asia, Kazakhstan, all over South America, and in the U.S.A. It's just like a big treasure hunt every day. We continue to generate wealth and jobs and have a very positive impact on the communities in which we work."

With all of the positive momentum Roosen and his partners have created, there is a sense of optimism there is more growth ahead to look forward to.

For more information on Osisko Development Corp. (TSX.V: ODV, NYSE: ODV) please fill out the form below.

FULL DISCLOSURE: Osisko Development is a client of BTV - Business Television. This article does not constitute investment advice. Each reader is encouraged to consult with his or her individual financial professional. Any action taken as a result of reading information here is the reader’s sole responsibility.

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