Osisko Gold Group Inc. has made a formal positive construction decision for its 100%-owned Cariboo Gold Project in central British Columbia, backed by a US$30 million strategic private placement and off-take agreements with an affiliate of Trafigura.

The decision shifts the fully permitted asset into full-scale development, with a first gold pour targeted for the first quarter of 2029 and commercial production expected in the second half of 2029.

Urion Investments Holdings Limited, an affiliate of Trafigura, has agreed to acquire 9,554,141 common shares at US$3.14 per share, representing a 10% premium. Closing of the equity investment is expected in September 2026. The package also includes four-year off-take agreements for 100% of the project’s gold concentrate and doré, alongside non-binding terms for a potential subordinated gold prepayment facility of up to US$120 million.

"The Board's formal positive decision to commence full-scale construction of our flagship Cariboo Gold Project represents a defining milestone for Osisko Gold and a pivotal inflection point toward our objective of becoming an intermediate gold producer. This decision is a culmination of more than a decade of de-risking work on the Project, from early exploration when the first drills hit the ground in 2015, through permitting and technical studies, and into project financing and pre-construction. It reflects our confidence in the significant long-term value Cariboo can deliver to our shareholders and other stakeholders, and in the transformational impact it can have on the future of Osisko Gold. I'd like to commend our talented team for their professionalism, dedication and extensive contributions over the years that have brought us to this important milestone."

— Sean Roosen, Chairman and CEO

The updated go-forward capital obligation for the mine is estimated at C$990 million, net of approximately C$272 million in costs incurred up to July 31, 2026. This compares with the initial capital estimate of C$881 million outlined in the April 2025 feasibility study. Total available and proposed sources of capital of up to C$1,637 million—including C$837 million in cash and cash equivalents as of June 30, 2026—are projected to cover remaining needs, leaving projected surplus liquidity of C$201 million.

Reflecting updated cost assumptions and a 30-month construction schedule, the project’s estimated economics have strengthened. Under long-term consensus pricing, the after-tax net present value at a 5% discount rate increases to C$2,323 million, up from C$943 million in the 2025 study, with an after-tax internal rate of return of 34.7%. Under spot pricing of US$4,350 per ounce, the after-tax NPV5% reaches C$3,181 million with an IRR of 42.7%.

Project completion stood at 22% as of July 31, 2026, with detailed engineering approximately 40% complete and C$325 million committed. Underground development has advanced approximately 3.0 kilometres, while earthworks have commenced on a second underground access at the Valley Portal. Construction is expected to support 613 direct jobs at its peak and 525 permanent operational roles.

Read the full announcement: Osisko Gold Announces Formal Construction Decision and Development Update for the Cariboo Gold Project