Osisko Development Corp. has announced it has secured a US$450-million project loan facility through a new strategic partnership with Appian Capital.
Construction of the Cariboo Gold Project is expected to begin in the second half of 2025, with initial production anticipated in the latter half of 2027.
The mine is planned for construction in the District of Wells, near Barkerville, and is expected to contribute to the region’s long-standing history of gold extraction.
A feasibility study completed in April 2025 projects the mine will produce 1.89 million ounces of gold over a 10-year lifespan.
“We are delighted to welcome Appian as a new cornerstone investor, which is a significant endorsement of the Cariboo Gold Project and a major milestone in advancing it towards a construction decision,” said Sean Roosen, chair and CEO. “Having recently completed an updated feasibility study for the project, the US$450-million facility represents a key financing commitment and allows us to maintain momentum towards a formal investment decision.”
The new credit facility is expected to enhance financial flexibility as Cariboo Gold enters its pre-construction phase.
An initial draw of US$100 million will fund a 13,000-metre infill drill campaign intended to further de-risk the project’s mine planning assumptions and support pre-construction and construction activities.
An additional $25-million term loan with the National Bank of Canada, maturing in October 2025, will be repaid through the new investment.
Subsequent draws amounting to US$350 million are expected to be accessed in up to four additional tranches.
These will be available for up to 36 months following the initial draw and are contingent on the completion of certain pre-construction milestones and conditions. These include infill drilling, procurement, underground development and operational readiness planning.
“The Cariboo Gold Project perfectly aligns with Appian’s disciplined, technically driven investment strategy,” said Michael W. Scherb, founder and CEO of Appian. “It is situated in a stable jurisdiction, boasts a robust existing minerals base with clear upside potential, and is being led by an experienced management team.
“The project also holds permits that will enable near-term progress to production. This transaction showcases the strength of Appian’s dedicated credit and royalties offering, including the added value our market-leading technical team can provide project owners. We look forward to working constructively with the Osisko team to help advance the project.”
