E Osisko Gold Royalties And Their Stock Warrants

As the bull market in precious metals stocks heats up investors will be looking for new opportunities and ideas to assist with their decisions as to which companies to invest.

One of the big name newsletter’s in the PM sector is recommending subscribers buy the shares of Osisko Gold Royalties (OR.TO) (OKSKF).

What they do not tell you is that there are stock warrants trading on Osisko, not one warrant but two warrants.

Before I tell you which of the two warrants you should consider, allow me to tell you about the company.

Osisko Gold Royalties Ltd. was created following the friendly $4.3B acquisition of Osisko Mining Corporation by Agnico Eagle and Yamana Gold in June 2014. The Canadian Malartic Mine lies at the heart of Osisko’s history, having been its cornerstone asset through the company’s growth from an exploration company to a mid-tier gold producer. Osisko can also rely on another world-class asset, the Éléonore royalty, acquired following the business combination between Osisko and Virginia in February 2015.

Based in Montreal, Québec, Osisko Gold Royalties Ltd primary business focus is as an intermediate mining royalty and exploration company whose cornerstone assets are a 5% NSR royalty on the Canadian Malartic Gold Mine, located in Malartic, Quebec and a sliding scale 2.0% – 3.5% NSR royalty on the Éléonore mine, located in the James Bay area in Québec.  The Company is well financed and also holds a 2% NSR royalty on the Upper Beaver, Kirkland Lake and Hammond Reef gold exploration projects in Northern Ontario.

You may recall Virginia Mines (VGQ:TSX)(VGMNF)?

In November 2014, Virginia Mines and Osisko announced a business combination and the shareholders approved the transaction and it was completed in February 2015 and the shares of VGQ:TSX were delisted.

As of February 26, 2016, the company has $450 million in cash and cash equivalent’s and only $50 million in debt.