Osisko greenlights Cariboo gold project: capex, schedule and risk notes for engineers
Reviewed by Tom Sullivan

First reported on MINING.com
30 Second Briefing
Osisko Gold Group has approved full construction of the C$841 million Cariboo underground gold mine in the historic Wells-Barkerville camp, 500 km north of Vancouver, targeting first gold in early 2029 and commercial production in H2 2029 after a 30‑month build. The project is already 22% complete, with about 3 km of underground development, 40% of detailed engineering and 44% of long-lead procurement finished, and a feasibility study outlining 1.89 million oz over 10 years from 17.4 Mt at 2.88 g/t measured and indicated. Financing includes C$1.64 billion in available capital, a US$30 million equity placement to Trafigura at US$3.14 per share, and a potential US$120 million gold prepay, leaving a projected C$201 million surplus and committing up to 80,000 t of concentrate and doré in the first four years.
Technical Brief
- Prepay facility availability extends three years from closing, with minimum five-year final maturity.
- Osisko currently holds about C$837 million in cash within total available capital of C$1.64 billion.
- Projected total outlays of C$1.44 billion (capex, exploration, debt service, financing) leave ~C$201 million surplus.
- About 3 km of underground development is already in place ahead of major earthworks ramp-up this quarter.
- Major earthworks are planned through end‑2027, with process plant foundations starting next summer.
Our Take
With Cariboo’s C$1.44 billion projected expenditures in Canada, the project fits squarely into the C$120 billion mining project pipeline flagged by BMO Global Metals & Mining, signalling that large-scale gold builds are still attracting capital alongside critical minerals in the country.
The Trafigura equity and gold prepayment facility at Cariboo underlines how traders are moving beyond base metals; in our database, Trafigura is more commonly associated with copper and bulk commodities than with long‑dated gold offtake structures.
A 10‑year mine life and 1.89 Moz planned production at Cariboo, combined with measured and indicated plus inferred resources totalling over 3 Moz, suggests Osisko Gold Group has scope to extend life or stage expansions, which is consistent with how Canadian Malartic and other Quebec assets have been developed over time.
Prepared by collating external sources, AI-assisted tools, and Geomechanics.io’s proprietary mining database, then reviewed for technical accuracy & edited by our geotechnical team.
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