Osisko Metals Incorporated (TSXV:OM) entered into a purchase agreement to acquire 100% stake in Gaspé Copper Project from Glencore Canada Corporation for $25 million on July 8, 2023. Glencore was issued a $25 million senior secured convertible note of the Company which is convertible into units of Osisko Metals at a price of $0.40 per unit, comprised of one common share of the Company and one-half Common Share purchase warrant of the Company. The Convertible Note will bear interest at a rate equal to the Secured Overnight Financing Rate (SOFR) + 4%, payable annually and, subject to adjustment or acceleration in certain circumstances, all outstanding principal and interest under the Convertible Note will be repaid in full by July 14, 2026. The Convertible Note will be secured against all of the present and after acquired property of the Company. Upon full conversion of the Convertible Note (assuming conversion on the closing date) and exercise of the underlying Warrants in full, Glencore would acquire 71,347,826 Common Shares, representing approximately 21.8% of the Common Shares that would be issued and outstanding upon the conversion of the Convertible Note and the exercise of the Warrants issued upon such conversion. Glencore did not own or control, directly or indirectly, any securities of Osisko Metals immediately prior to the closing of the Transaction. Glencore retained a 1% net smelter returns ("NSR") royalty on the historical Mount Copper open pit and a 3% NSR
royalty on all other minerals extracted from Gaspé Copper. Osisko Metals will make a cash payment of US$20.0 million to Glencore upon the commencement of commercial production at Gaspé Copper. Osisko Metals has entered into an offtake agreement with Glencore to purchase 100% of the concentrates produced at Gaspé Copper. The Company and Glencore entered into an investor rights agreement), pursuant to which Glencore has been granted certain investor rights, provided that it maintains certain ownership thresholds in the Company. Accordingly, in accordance with the policies of the Exchange, the disinterested shareholders of the Company were required to approve Glencore as a Control Person of the Company, which approval was obtained at a meeting of shareholders held on June 23, 2022. Mr. Peter Wright will be appointed to the board of the Company.

Bennett Jones LLP acted as legal advisor to Osisko Metals.