TORONTO - GOLDCORP is raising the money it needs to repay credit facilities that will be drawn down to acquire certain PLACER DOME assets from BARRICK GOLD. Goldcorp will issue 8.7 million new warrants to raise US$460 million through the early exercise of publicly-traded warrants. Details of the offering can be found in the News Releases at www.Goldcorp.com.
As part of Barrick's takeover of Placer Dome, Barrick agreed to sell Placer's share of certain Ontario gold mines to Goldcorp. These assets include 68% of the Musselwhite mine near Thunder Bay, 100% of the exceptionally rich Campbell mine adjacent to Goldcorp's Red Lake mine at Balmertown, and Placer's share (51%) of the Porcupine joint venture with KINROSS GOLD near Timmins. The joint venture includes the Dome mine (in continuous operation since 1910) and the Hoyle Pond mine. The other operating mine in the deal is La Coipa in Chile, in which Goldcorp will hold 50% (and Kinross the remainder). Also included is 40% of the Pueblo Viejo development in the Dominican Republic; Barrick will retain 60%. Goldcorp has agreed to pay US$1.5 billion for these assets.