Falco Announces Extension of Certain Deadlines and Other Amendments Under the Silver Stream Transaction
120395568
For Immediate Release TSX.V - FPC
FALCO ANNOUNCES EXTENSION OF CERTAIN DEADLINES AND OTHER AMENDMENTS
UNDER THE SILVER STREAM TRANSACTION
MONTRÉAL, January 31, 2025 – Falco Resources Ltd. (TSX.V: FPC) (“ Falco” or
the “Corporation”) is pleased to announce that the Corporation and Osisko Gold Royalties Ltd
(“Osisko”) have entered into an amendment to the silver purchase agreement dated
February 27, 2019 (the “Silver Stream”) relating to Falco’s Horne 5 P roject. The amendment
postpones certain deadlines granted to Falco to achieve milestones set as conditions precedent
to Osisko funding the remaining instalments of the stream deposit and certain other deadlines.
The amendment comprises additional changes to reflect the execution of the operating license
and indemnity agreement (“OLIA”) with Glencore in January 2024, including that the funding of
the second and third instalment of the stream deposit will be subject to Falco demonstrating that
financial assurances in favour of Glencore under the OLIA can be satisfied. The amendment also
increases the minimum equity financing required as a condition precedent to funding the second
and third instalments to reflect inflation since the initial execution of the Silver Stream as well as
a revised provision on the calculation of interest payable to Osisko once production has
commenced or should commencement of production be postponed . A copy of the amendment
has been filed under Falco’s profile at www.sedarplus.ca.
The independent directors of the Corporation have approved such amendments under the Silver
Stream.
About Falco
Falco Resources Ltd. is one of the largest mineral claim holders in the Province of Québec, with
extensive land holdings in the Abitibi Greenstone Belt. Falco owns approximately 67,000 hectares
of land in the Noranda Mining Camp, which represents 67% of the entire camp and includes 13
former gold and base metal mine sites. Falco’s principal asset is the Falco Horne 5 Project located
under the former Horne mine that was operated by Noranda from 1927 to 1976 and produced
11.6 million ounces of gold and 2.5 billion pounds of copper. Osisko Development Corp is Falco’s
largest shareholder owning a 16% interest in the Corporation.
For further information, please contact:
Luc Lessard
President, Chief Executive Officer and Director
514-261-3336
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 press release.
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Cautionary Statement on Forward-Looking Information
This news release contains forward-looking statements and forward-looking information (together, “forward looking
statements”) within the meaning of applicable Canadian securities laws. Statements, other than statements of historical
facts, and including statements relating to the funding of the instalments of the stream deposit, may be forward-looking
statements. Generally, forward-looking statements can be identified by the use of terminology such as “plans”,
“expects”, “estimates”, “intends”, “anticipates”, “believes” or variations of such words, or statements that certain actions,
events or results “may”, “could”, “would”, “might”, “will be taken”, “occur” or “be achieved”, the negative of these terms
and similar terminology although not all forward-looking statements contain these terms and phrases. Forward-looking
statements involve risks, uncertainties and other factors that could cause actual results, performance, prospects and
opportunities to differ materially from those expressed or implied by such forward-looking statements. These risks and
uncertainties include, but are not limited to, the risk that the conditions precedent to the funding of the remaining
instalments of the Silver Stream may not be satisfied and the other risk factors set out in Falco’s annual and/or quarterly
management discussion and analysis and in other of its public disclosure documents filed on SEDAR+ at
www.sedarplus.ca, as well as all assumptions regarding the foregoing. Although Falco believes that the assumptions
and factors used in preparing the forward-looking statements are reasonable, undue reliance should not be placed on
these statements, which only apply as of the date of this press release, and no assurance can be given that such events
will occur in the disclosed time frames or at all. Except as required by applicable law, Falco disclaims any intention or
obligation to update or revise any forward-looking statements, whether as a result of new information, future events or
otherwise.