Orecap Announces Intent to Spin Out Gold Assets in Kirkland Lake
Orecap Invest has announced plans to spin out its gold exploration assets in the Kirkland Lake area into new subsidiary companies. The company's key assets include:
- McGarry Project: Contains 123,000 oz indicated and 30,000 oz inferred gold resources, located along the Cadillac Break
- Mirado Project: PEA-stage asset with 46,900 oz indicated and 32,700 oz inferred gold resources, showing 158% IRR
- Knight Project: Adjacent to Aris Mining's Juby Gold Project, featuring high-grade gold intersections
The spin-outs aim to unlock value for shareholders, as Orecap currently trades at book value of its equity portfolio with minimal value attributed to its gold assets. The company has a proven track record of successful spin-outs, including American Eagle Gold, XXIX Metal, and investments in Mistango River Resources, Awale Resources, and others. The new subsidiaries will initially remain private but structured for future public listing.
Orecap Invest ha annunciato l'intenzione di scorporare i suoi asset di esplorazione aurifera nell'area di Kirkland Lake in nuove società controllate. Gli asset principali dell'azienda includono:
- Progetto McGarry: contiene risorse aurifere indicate per 123.000 oz e inferite per 30.000 oz, situato lungo la Cadillac Break
- Progetto Mirado: asset in fase di PEA con risorse aurifere indicate per 46.900 oz e inferite per 32.700 oz, con un IRR del 158%
- Progetto Knight: adiacente al Juby Gold Project di Aris Mining, caratterizzato da intersezioni aurifere ad alto tenore
Lo scorporo mira a sbloccare valore per gli azionisti, poiché Orecap attualmente viene scambiata al valore contabile del suo portafoglio azionario con un valore minimo attribuito ai suoi asset auriferi. L'azienda vanta un solido storico di scorpori di successo, tra cui American Eagle Gold, XXIX Metal, e investimenti in Mistango River Resources, Awale Resources e altri. Le nuove società controllate rimarranno inizialmente private, ma saranno strutturate per una futura quotazione pubblica.
Orecap Invest ha anunciado planes para escindir sus activos de exploración de oro en el área de Kirkland Lake en nuevas subsidiarias. Los activos clave de la compañía incluyen:
- Proyecto McGarry: contiene 123,000 oz de recursos de oro indicados y 30,000 oz inferidos, ubicado a lo largo de la Cadillac Break
- Proyecto Mirado: activo en etapa PEA con 46,900 oz indicadas y 32,700 oz inferidas de recursos de oro, mostrando un IRR del 158%
- Proyecto Knight: adyacente al Juby Gold Project de Aris Mining, con intersecciones de oro de alta ley
La escisión busca desbloquear valor para los accionistas, ya que Orecap actualmente cotiza al valor contable de su cartera de acciones con un valor mínimo atribuido a sus activos auríferos. La compañía tiene un historial probado de escisiones exitosas, incluyendo American Eagle Gold, XXIX Metal, e inversiones en Mistango River Resources, Awale Resources y otros. Las nuevas subsidiarias permanecerán inicialmente privadas pero estarán estructuradas para una futura cotización pública.
Orecap Invest는 Kirkland Lake 지역의 금 탐사 자산을 새로운 자회사로 분사할 계획을 발표했습니다. 회사의 주요 자산은 다음과 같습니다:
- McGarry 프로젝트: Cadillac Break를 따라 위치하며, 123,000 온스의 확인 금 자원과 30,000 온스의 추정 금 자원을 포함
- Mirado 프로젝트: PEA 단계 자산으로 46,900 온스의 확인 금 자원과 32,700 온스의 추정 금 자원을 보유, 158%의 내부수익률(IRR)을 보임
- Knight 프로젝트: Aris Mining의 Juby Gold 프로젝트 인접 지역으로 고등급 금 교차 구간 포함
이번 분사는 주주 가치를 극대화하기 위한 것으로, 현재 Orecap은 금 자산에 거의 가치를 부여하지 않고 지분 포트폴리오의 장부가치로 거래되고 있습니다. 회사는 American Eagle Gold, XXIX Metal 및 Mistango River Resources, Awale Resources 등 투자에서 성공적인 분사 실적을 보유하고 있습니다. 신규 자회사는 초기에는 비상장 상태를 유지하지만 향후 상장을 위해 구조화될 예정입니다.
Orecap Invest a annoncé son intention de scinder ses actifs d'exploration aurifère dans la région de Kirkland Lake en nouvelles filiales. Les principaux actifs de la société comprennent :
- Projet McGarry : contient 123 000 oz de ressources aurifères indiquées et 30 000 oz de ressources inférées, situé le long du Cadillac Break
- Projet Mirado : actif en phase d'étude PEA avec 46 900 oz de ressources aurifères indiquées et 32 700 oz inférées, affichant un TRI de 158 %
- Projet Knight : adjacent au projet Juby Gold d'Aris Mining, présentant des intersections aurifères à haute teneur
La scission vise à libérer de la valeur pour les actionnaires, car Orecap est actuellement valorisée à la valeur comptable de son portefeuille d'actions, avec une valeur minimale attribuée à ses actifs aurifères. La société possède un historique éprouvé de scissions réussies, notamment American Eagle Gold, XXIX Metal, ainsi que des investissements dans Mistango River Resources, Awale Resources et d'autres. Les nouvelles filiales resteront initialement privées mais seront structurées pour une future introduction en bourse.
Orecap Invest hat Pläne angekündigt, seine Goldexplorationsvermögen im Gebiet Kirkland Lake in neue Tochtergesellschaften auszugliedern. Zu den wichtigsten Vermögenswerten des Unternehmens gehören:
- McGarry-Projekt: Enthält 123.000 Unzen angezeigte und 30.000 Unzen vermutete Goldressourcen, gelegen entlang des Cadillac Break
- Mirado-Projekt: PEA-Phase mit 46.900 Unzen angezeigten und 32.700 Unzen vermuteten Goldressourcen, mit einer internen Rendite (IRR) von 158 %
- Knight-Projekt: Angrenzend an das Juby Gold Projekt von Aris Mining, mit hochgradigen Goldabschnitten
Die Ausgliederungen zielen darauf ab, den Wert für die Aktionäre freizusetzen, da Orecap derzeit zum Buchwert seines Aktienportfolios gehandelt wird und den Goldvermögenswerten nur einen minimalen Wert beimisst. Das Unternehmen verfügt über eine nachweisliche Erfolgsbilanz bei Ausgliederungen, darunter American Eagle Gold, XXIX Metal und Investitionen in Mistango River Resources, Awale Resources und andere. Die neuen Tochtergesellschaften bleiben zunächst privat, sind jedoch für eine zukünftige Börsennotierung strukturiert.
- Plans to spin out gold assets into new subsidiaries to unlock shareholder value
- McGarry project has indicated resource of 123,000 oz gold at 8.57 g/t and inferred resource of 30,000 oz at 5.83 g/t
- Mirado project shows strong economics with 158% IRR and $20.5M NPV5%
- Successful track record of value creation through spin-outs (American Eagle Gold: $1.5M to $5M, XXIX Metal: $1.6M to $3.5M)
- Recent Awale Resources investment grew from $1M to ~$5M
- Strategic portfolio diversification across multiple mining projects
- Company trading at approximately book value of equity portfolio with minimal value attributed to gold assets
- Spin-out plans subject to multiple regulatory approvals (BC Court, TSXV, shareholders)
- New subsidiaries will need to raise independent capital
- Initial subsidiaries will remain private un-listed entities
Toronto, Ontario--(Newsfile Corp. - April 29, 2025) - Orecap Invest Corp. (TSXV: OCI) (OTCQB: ORFDF) ("Orecap" or the "Company") is pleased to announce plans to spin out some or all of its high-quality gold exploration and development assets into newly formed subsidiary companies.
This initiative may focus on Orecap's gold projects in the Kirkland Lake area, as well as separate opportunities originated by the Company. These strategic spin-outs are designed to unlock currently underrecognized value for Orecap shareholders and are aligned with the Company's business model as an investment issuer, and not a driller or developer of physical land assets.
Orecap is currently trading at approximately the book value of its equity portfolio, with little to no value being attributed to its gold assets, particularly those in the Kirkland Lake District. In addition to its current holdings, Orecap may continue to originate and develop new investment opportunities, as it has successfully done with Awalé, American Eagle, Cuprum, Mistango, Kintavar, and others.
Orecap is an investment issuer with a proven track record of identifying overlooked and undervalued geological opportunities, financing them, installing high-quality management teams, and advancing projects to create shareholder value. Orecap is planning for and anticipating a broad re-rating within the metals sector and intends to position its shareholders with deep-value opportunities ahead of this expected shift.
Unlocking Value from Physical Assets
- McGarry — Located in Virginiatown, Ontario spanning 2.4km of one of the world's most prolific gold structures, Cadillac Break, McGarry hosts an indicated resource of 447,000 tonnes @ 8.57 g/t Au (123,000 oz) and an inferred resource of 157,000 tonnes @ 5.83 g/t Au (30,000 oz). Significant underground mining infrastructure is in place, including a headframe, hoist and electrical substations. McGarry is contiguous with the prolific Kerr Addison deposit, which produced 11 million ounces @ 9 g/t Au.
- Mirado — Located 35km southeast of Kirkland Lake, Mirado is a PEA-stage asset with current indicated mineral resource of 559,000 tonnes @ 2.61 g/t Au (46,900 oz), and inferred resource of 382,000 tonnes @ 2.66 g/t Au (32,700 oz) within just the Mirado South Zone Open Pit. PEA showed
158% IRR,$20.5M NPV5% at US$1,300 /oz Au. - Knight — Located in Shining Tree, Knight is contiguous with Aris Mining's Juby Gold Project (2.26 Moz Au, Indicated and Inferred). Knight has multiple zones, including Minto—which showed some of Canada's highest gold intersections (18.2 g/t Au over 65.7 metres), and Tyranite—which has in place mining infrastructure.
Each new subsidiary would be structured to raise dedicated capital independently, advancing projects without causing dilution to existing Orecap shareholders.
A Proven Business Model — Orecap has successfully demonstrated this model of value creation before:
- American Eagle Gold (TSXV: AE) — Spun out in 2021, American Eagle Gold acquired the NAK project and received significant investments from Teck Resources and South32 Ltd. Orecap's cost-base was
$1.5M , and Orecap's equity holding is valued at$5M . - XXIX Metal Corp. (TSXV: XXIX) — Spun out in 2018, XXIX is developing its Opemiska and Thierry projects. Orecap's cost-base was
$1.6M , and its equity holding is valued at$3.5M . - Mistango River Resources (CSE: MIS) — Orecap acquired its position in Mistango in 2019. Mistango is focused on its 585 Koz Omega Project and its Kirkland West Project, with Agnico Eagle as a strategic shareholder.
- Awale Resources (TSXV: ARIC) - Orecap acquired its active position in Awale in 2023 for
$1M , which is currently worth ~$5M . - Cuprum Corp. (PrivateCo) — Orecap acquired
40% of Cuprum Corp. in 2023, with an acquisition cost of$1.47 5 million. Cuprum owned the Thierry project, and was subsequently acquired by XXIX Metal Corp. in 2024. - Metal Energy Corp. (TSXV: MERG) — Orecap acquired 5.125M shares in Metal Energy (and 2.56M warrants) for
$205,000 in 2024. Metal Energy is focused on developing its Highland Valley Project, located beside Teck Resources' Highland Valley Operations-Canada's largest copper mine. - Kintavar Exploration (TSXV: KTR) — Orecap's latest active investment focused on Eastern Chibougamau consolidation. Orecap will acquire its
19.9% ownership in Kintavar without dilution by reallocating a portion of its XXIX Metal investment. Investment is Pending Closing.
Efficient, Future-Ready Structure
Orecap's newly formed subsidiaries are expected to initially remain private un-listed entities while operating as reporting issuers in certain jurisdictions in Canada, ensuring full regulatory transparency without incurring the high costs and delays associated with traditional IPOs. Each subsidiary is intended to be structured for a seamless transition to public markets when conditions are favorable, and will be led by strong technical and financial management teams. This disciplined, hands-on approach to active management is central to Orecap's strategy of driving value creation across its portfolio.
Next Steps
The spin-out plans remain subject to British Columbia Court, TSXV, regulatory, and shareholder approvals. Full details will be provided in the Company's forthcoming information circular ahead of its Annual Shareholders' Meeting.
About Orecap Invest Corp.
Orecap Invest Corp. seeks special situation investments in the natural resource sector, offering shareholders diverse exposure to high-return opportunities across precious and critical metals. Orecap holds significant equity positions in companies such as American Eagle Gold (TSXV: AE) (OTCQB: AMEGF), XXIX Metal Corp. (TSXV: XXIX) (OTCQB: QCCUF), Mistango River Resources (CSE: MIS), and Awalé Resources (TSXV: ARIC), alongside a broad portfolio of gold, copper, and zinc land packages. Agnico Eagle Mines Limited is a
Orecap's Current Equity Holdings include:
| Company (Ticker) | Shares Owned / (% of Outstanding Shares) |
| Mistango River Resources (CSE: MIS) | 24,708,975 / ( |
| XXIX Metal Corp. (TSXV: XXIX) (OTCQB: QCCUF) (FSE: 5LW0) | 39,096,852/ ( |
| American Eagle Gold (TSXV: AE) (OTCQB: AMEGF) | 10,718,748 / ( |
| Awale Resources (TSXV: ARIC) | 7,389,833 + 4,166,666 warrants / ( |
| Metal Energy (TSXV: MERG) | 5,125,000 + 2,562,500 warrants / ( |
Qualified Person Statement
The technical information contained in this news release has been reviewed and approved by Charles Beaudry, P.Geo and géo., Director of Orecap, a Qualified Person, as defined in "National Instrument 43-101, Standards of Disclosure for Mineral Projects."
About Orecap Invest Corp.
For more information, please visit www.orecap.ca.
For further information, please contact:
Stephen Stewart, Chief Executive Officer
Phone: 416.644.1567
Email: info@oregroup.ca
Forward-Looking Statements
Certain information set forth in this news release contains forward-looking statements or information ("forward-looking statements)", including details about the business of the Company. All statements in this news release, other than statements of historical facts, that address events or developments that the Company expects to occur, are forward-looking statements, including, but not limited to, the receipt by the Company of Court approval, Shareholder approval and the approval of the TSX Venture Exchange for the spin-outs. By their nature, forward-looking statements are subject to numerous risks and uncertainties, some of which are beyond the Company's control, including the impact of general economic conditions, industry conditions, volatility of commodity prices, currency fluctuations, environmental risks, operational risks, competition from other industry participants, stock market volatility. Although the Company believes that the expectations in its forward-looking statements are reasonable, its forward-looking statements have been based on factors and assumptions concerning future events which may prove to be inaccurate. Those factors and assumptions are based upon currently available information. Such statements are subject to known and unknown risks, uncertainties and other factors that could influence actual results or events and cause actual results or events to differ materially from those stated, anticipated or implied in the forward-looking statements. Accordingly, readers are cautioned not to place undue reliance on the forward-looking statements, as no assurance can be provided as to future results, levels of activity or achievements. Risks, uncertainties, material assumptions and other factors that could affect actual results are discussed in the Company's public disclosure documents available at www.sedarplus.ca. Furthermore, the forward-looking statements contained in this document are made as of the date of this document and, except as required by applicable law, the Company does not undertake any obligation to publicly update or to revise any of the included forward-looking statements, whether as a result of new information, future events or otherwise. The forward-looking statements contained in this document are expressly qualified by this cautionary statement.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this news release.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/250020
FAQ
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