Alamos Gold Inc. - AGI STOCK NEWS

Alamos Gold has released its 2023 Annual ESG Report, highlighting significant sustainability achievements. The report showcases an 8% reduction in greenhouse gas emissions, a 5% decrease in Total Recordable Injury Frequency Rate, and $2.2 million invested in local community initiatives. Alamos maintained zero significant environmental incidents and continued collaboration with Indigenous communities in Canada.

Other notable achievements include 87,000+ hours of employee training, 99% procurement from in-country suppliers, and the Mulatos mine receiving the Silver Helmet Award for outstanding health and safety performance. The report aligns with SASB, TCFD, and GRI standards, reflecting Alamos Gold's commitment to responsible mining and transparency in its sustainability efforts across operations, projects, and offices.

Alamos Gold Inc. (TSX:AGI; NYSE:AGI) has entered into a gold sale prepayment agreement for $116 million in exchange for delivering 49,384 ounces in 2025. The proceeds were used to eliminate gold forward purchase contracts previously entered by Argonaut Gold, totaling 179,417 ounces in 2024 and 2025 at an average price of $1,838 per ounce. This transaction has eliminated over half of Argonaut's hedge book and associated mark-to-market liability, providing increased exposure to rising gold prices.

Alamos inherited Argonaut's hedge book as part of its recent acquisition, which included contracts for 329,417 ounces between 2024 and 2027. The new agreement closes out all 2024 and 2025 contracts. The remaining hedge book consists of 150,000 ounces in 2026 and 2027, expected to account for less than 12% of total consolidated production during that period.

Alamos Gold has completed the acquisition of all outstanding shares of Argonaut Gold. The transaction, approved by the Ontario Superior Court of Justice and Mexico’s COFECE, includes Argonaut’s Magino mine, which will now be integrated with Alamos’ Island Gold mine. Argonaut’s U.S. and Mexico assets will be spun off into a new company, Florida Canyon Gold. Argonaut shareholders will receive shares in both Alamos and Florida Canyon Gold. Alamos issued 20.4 million Class A shares, bringing its total to 419.7 million. Alamos now owns 19.99% of Florida Canyon Gold after a $10 million private placement. Argonaut shares will be delisted from the TSX on July 16, 2024, while Florida Canyon Gold will start trading on the TSX Venture Exchange under the symbol 'FCGV'. The acquisition is expected to create significant synergies, positioning Alamos as a leading Canadian gold producer with increased production and reduced costs.

Alamos Gold (TSX:AGI; NYSE:AGI) will release its second quarter financial results for 2024 after market close on July 31, 2024. A conference call hosted by senior management will follow on August 1, 2024, at 10:00 am ET to discuss these results.

Participants can join the call via webcast or through specific dial-in numbers provided for both international and toll-free within Canada and the US. A playback will be available until August 31, 2024, and the webcast will be archived on the company's website.

Alamos Gold announced a quarterly dividend of US$0.025 per common share, marking 15 consecutive years of dividends. The dividend, payable on June 27, 2024, is eligible for Canadian income tax purposes. Shareholders can opt into the Dividend Reinvestment Plan (DRIP), allowing them to receive shares at a 3% discount instead of cash. Enrollment in the DRIP must be completed by June 6, 2024, to participate in the upcoming dividend.

Alamos Gold (TSX:AGI; NYSE:AGI) held its Annual General and Special Meeting of Shareholders virtually on May 23, 2024, reporting significant shareholder engagement with 78.26% of shares voted. All nine nominee directors were elected, including John A. McCluskey who received 99.58% of votes in favor. KPMG LLP was appointed as the auditor with 98.12% approval. The proposal to increase the Board size from 10 to 12 directors passed with 98.76% support. Additionally, the non-binding resolution on executive compensation was approved with 98.40% votes in favor.

Alamos Gold announced new results from its underground exploration at the Young-Davidson mine, revealing higher-grade gold mineralization within the hanging wall zones. The drilling intersected gold grades significantly higher than the current Mineral Reserve grade of 2.31 g/t Au, with highlights including 7.41 g/t Au over 22.00 m and 19.94 g/t Au over 4.55 m. The 2024 exploration program has a budget of $12 million, focusing on extending mineralization within the Young-Davidson syenite and testing hanging wall zones. Drilling is ongoing to further define the extent and geometry of these new mineralized zones.

Alamos Gold Inc. reported strong first quarter 2024 results with record revenues driven by production exceeding guidance. The company's ongoing free cash flow generation was solid, with significant value creation through exploration and M&A activities. The acquisition of Argonaut Gold Inc. and Orford Mining is expected to enhance Alamos' position as a Canadian focused intermediate gold producer. Operational and financial highlights include increased gold production and sales, improved Mineral Reserves, and ongoing community support initiatives.

Alamos Gold Inc. and Argonaut Gold Inc. have completed a non-brokered private placement where Alamos acquired 13.8% of Argonaut's common shares for C$50,000,000. The proceeds will fund Argonaut's liquidity needs, including the Magino Gold mine and general working capital.