GOLDCORP SELLS
OSISKO INVESTMENT
VANCOUVER, BRITISH COLUMBIA � GOLDCORP INC. (TSX: G, NYSE: GG) today announced that it has sold
its 10.1% equity interest in Osisko Mining
Corporation ("Osisko"), representing
approximately 38.6 million common shares. The shares were sold on an
underwritten block trade basis, at a gross price of C$13.75 per share. Goldcorp
expects to receive cash proceeds of approximately C$530 million.
"The sale of our
investment in Osisko highlights Goldcorp's continued
success in redeploying internal capital from non-core assets to fund our
leading growth profile," said Chuck Jeannes,
Goldcorp President and Chief Executive Officer. "The transaction
reinforces our disciplined approach to maintaining an investment grade balance
sheet. The proceeds from this sale will be used to fund the development of
Goldcorp's existing project pipeline. With over $1 billion in cash and forecast
cash flows of nearly $2.5 billion at current metal prices in 2011, we have the
required liquidity to fund our exceptional growth profile. We have appreciated
our relationship with Osisko and congratulate management
for their delivery of shareholder value over the past few years."
The syndicate was lead by Canaccord Genuity and UBS
Securities Canada and included RBC Capital Markets, Scotia Capital, Bank of
America Merrill Lynch, GMP Securities and Macquarie Capital Markets Canada.
Goldcorp is one of the
world's fastest growing senior gold producers. Its low-cost gold production is
located in safe jurisdictions in the Americas and remains 100% unhedged.
This press release is not
an offer of securities for sale in the United States. The Osisko
common shares sold have not been and will not be registered under the U.S.
Securities Act of 1933, as amended, and may not be offered or sold in the
United States absent registration or an applicable exemption from registration.
Cautionary Note Regarding Forward-Looking Statements
This press release contains
"forward-looking statements", within the meaning of the United States
Private Securities Litigation Reform Act of 1995 and applicable Canadian
securities legislation, concerning the business, operations and financial
performance and condition of Goldcorp Inc. Forward-looking statements include,
but are not limited to, statements with respect to the future price of gold,
silver, copper, lead and zinc, the estimation of mineral reserves and
resources, the realization of mineral reserve estimates, the timing and amount
of estimated future production, costs of production, capital expenditures,
costs and timing of the development of new deposits, success of exploration
activities, permitting time lines, hedging practices, currency exchange rate
fluctuations, requirements for additional capital, government regulation of
mining operations, environmental risks, unanticipated reclamation expenses,
timing and possible outcome of pending litigation, title disputes or claims and
limitations on insurance coverage. Generally, these forward-looking statements
can be identified by the use of forward-looking terminology such as
"plans", "expects" "is expected",
"budget", "scheduled", "estimates",
"forecasts", "intends", "anticipates",
"believes" or the negative connotation thereof or variations of such
words and phrases or statements that certain actions, events or results
"may", "could", "would", "might" or
"will be taken", "occur" or "be achieved" or the
negative connotation thereof. All forward-looking statements are developed
based on assumptions about such risks, uncertainties and other factors set at
herein. Forward-looking statements are subject to known and unknown risks,
uncertainties and other factors that may cause the actual results, level of
activity, performance or achievements of Goldcorp to be materially different
from those expressed or implied by such forward-looking statements, including
but not limited to: risks related to the integration of acquisitions; risks
related to international operations; risks related to joint venture operations;
actual results of current exploration activities; actual results of current
reclamation activities; conclusions of economic evaluations; changes in project
parameters as plans continue to be refined; future prices of gold, silver,
copper, lead and zinc; possible variations in ore reserves, grade or recovery
rates; failure of plant, equipment or processes to operate as anticipated;
accidents, labour disputes; delays in obtaining
governmental approvals or financing or in the completion of development or
construction activities and other risks of the mining industry, as well as
those factors discussed in the section entitled "Description of the Business
� Risk Factors" in Goldcorp's annual information form for the year ended
December 31, 2009 available at www.sedar.com. Although Goldcorp has attempted
to identify important factors that could cause actual results to differ
materially from those contained in forward-looking statements, there may be
other factors that cause results not to be as anticipated, estimated or
intended. There can be no assurance that such statements will prove to be
accurate, as actual results and future events could differ materially from
those anticipated in such statements. Accordingly, readers should not place
undue reliance on forward-looking statements. The forward-looking statements
contained in this press release are made as of the date of this press release
and, accordingly, are subject to change after such date. Except as otherwise
indicated by Goldcorp, these statements do not reflect the potential impact of
any non-recurring or other special items or of any dispositions, monetizations, mergers, acquisitions, other business
combinations or other transactions that may be announced or that may occur
after the date hereof. Forward-looking statements are provided for the purpose
of providing information about management's current expectations and plans and
allowing investors and others to get a better understanding of Goldcorp's
operating environment. Goldcorp does not undertake to update any
forward-looking statements that are included in this document, except in
accordance with applicable securities laws.
For further information,
please contact:
Jeff Wilhoit
Vice President, Investor Relations
Goldcorp Inc.
Telephone: (604) 696-3074
Fax: (604) 696-3001
E-mail: info@goldcorp.com
website: www.goldcorp.com
