Applies To Change Issuer Status from a Mining Issuer to a Tier 2 Investment Issuer
Quebec, Nov 1, 2016 AEST (ABN Newswire) - Abitibi Royalties Inc. (
CVE:RZZ) ("Abitibi Royalties" or the "Company") announces that at the request of the TSX-Venture Exchange ("TSX-Venture") and further to its news release on January 13, 2016, it has submitted an application to the TSX-Venture to change its issuer status from a Mining Issuer to a Tier 2 Investment Issuer, which has been conditionally accepted by the TSX-Venture subject to Abitibi Royalties filing final materials.
The Company's business plan will remain unchanged as it looks to build a portfolio of gold mining royalties, which currently includes various royalties at the Canadian Malartic Mine such as the Odyssey North discovery, Jeffrey Zone and the eastern portion of the Barnat Extension, that are located within the Malartic CHL property.
Details of the change of business, the Company's investment portfolio and policy are included in a Filing Statement, which has been filed with regulators and is available on SEDAR (www.sedar.com) under the Company's issuer profile.
In connection with Abitibi Royalties normal course issuer bid announced on October 3 and 5, 2016, the Company may purchase through the facilities of the TSX-Venture up to 566,812 common shares versus 566,182 that was stated in the October 5, 2016 news release.
In addition, Agnico Eagle (NYSE:AEM) and Yamana (TSE:YRI) have received notice of an application for injunction related to the Canadian Malartic Mine. The next hearing is expected in March 2017. The request for injunction aims to restrict the Canadian Malartic Mine's mining operations to sound levels and mining volumes below the limits to which it is subject. The mines operators expect that if the injunction is granted, production could be reduced, which potentially could reduce royalty payments to Abitibi Royalties. Agnico Eagle and Yamana have reviewed the injunction request, consider the request without merit and will take all reasonable steps to defend against the injunction.
About Abitibi Royalties Inc.
Abitibi Royalties Inc. (CVE:RZZ) holds a 3% NSR on the Odyssey North discovery, Jeffrey Zone and the eastern portion of the Barnat Extension, located inside the Malartic CHL property and a 2% NSR on portions of the Gouldie and Charlie zones, all at the Canadian Malartic mine near Val-d’Or, Québec. In addition, the Company is building a portfolio of royalties on early stage properties near producing mines. The Company owns common shares in Yamana Gold and Agnico Eagle Mines (market value), plus cash (as of September 30, 2016) of Cdn$41.8 million. The Company is debt free.
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