IAMGOLD Corporation (TSX: IMG)(NYSE: IAG)(BOTSWANA: IAMGOLD) and
Orezone Resources Inc. (TSX: OZN)(NYSE Alternext US: OZN)
("Orezone") jointly announced today that Orezone shareholders have
overwhelmingly approved the plan of arrangement transaction with
IAMGOLD.
At a meeting of Orezone shareholders held earlier today, the
arrangement was approved by 99.94% of the votes cast representing
78.10% of Orezone's outstanding shares.
Under the terms of the arrangement, Orezone shareholders will
receive 0.08 common shares of IAMGOLD plus 0.125 of a share of the
new exploration company, Orezone Gold Corporation, for each Orezone
share held. The TSX has conditionally approved the listing of
Orezone Gold Corporation which will commence trading the day after
Orezone Resources Inc. ceases to trade.
Orezone's application to the Ontario Superior Court of Justice
to obtain the final court order approving the arrangement is
scheduled for February 20, 2009. If approved, and all other
conditions to the arrangement are satisfied, the arrangement is
expected to close on February 25, 2009.
"We are very pleased to see the approval of this transaction
which provides IAMGOLD with a second major flagship gold property
and is a significant addition to IAMGOLD's production pipeline",
said Joseph Conway, IAMGOLD's President and CEO. "Our strong
balance sheet during the global credit meltdown allowed us to take
advantage of a unique market opportunity, making the deal accretive
on all key metrics. The Essakane gold project in Burkina Faso is a
strong strategic fit with IAMGOLD, it adds more than 30% to our
reserves and provides near-term production in excess of 300,000
ounces of gold per year in West Africa, one of our key focus areas.
This asset will solidly launch IAMGOLD as a greater than 1 million
ounce producer."
Ron Little, CEO of Orezone comments, "Our shareholders have
already capitalized on a significant value creation in IAMGOLD
during difficult markets for junior companies. Orezone shareholders
will also participate in the creation of Orezone Gold Corporation,
a new gold exploration company that will retain Orezone's
management and exploration team. Orezone Gold will be well financed
through this transaction and host three advanced gold projects in
Burkina Faso including Bombore with 926,000 ounces of Measured and
Indicated resources and 1.78 million of Inferred Resources. Equally
important, this transaction results in a very positive outcome for
those dedicated to the development of the Essakane Project
including the people of Burkina Faso, especially those of the
Essakane community who will have the opportunity to continue with
the project under IAMGOLD."
Denis Miville-Deschenes, IAMGOLD's Senior VP, Project
Development commented, "Our IAMGOLD construction and development
team have prepared for the integration of the Essakane project and
employees into the IAMGOLD team. We have been on-site and have been
communicating regularly with the Essakane team in anticipation of
the closing of the transaction. There is considerable momentum on
the project as it is fully permitted with construction underway. We
are committed to bringing the Essakane mine into production on
schedule and on budget."
About IAMGOLD
IAMGOLD is a leading mid-tier gold mining company producing
almost one million ounces from 7 mines on 3 continents. IAMGOLD is
focused on growth with a target to reach 1.8 million ounces gold
production by 2012. IAMGOLD is uniquely positioned with a strong
financial base, together with the management and operations
expertise to execute our aggressive growth objectives. IAMGOLD is
focused in West Africa, the Guiana Shield of South America and in
Quebec where it has a pipeline of development and exploration
projects, while it continues to assess accretive acquisition
opportunities with a strategic fit. IAMGOLD is listed on the
Toronto Stock Exchange ("IMG"), the New York Stock Exchange ("IAG")
and the Botswana Stock Exchange.
About Orezone
Orezone is an explorer and emerging gold producer that owns
Essakane and Bombore, which are the largest and third largest gold
deposits in Burkina Faso, West Africa. Orezone also has a pipeline
of developing projects, all located in politically stable areas of
West Africa, one of the world's fastest growing gold-producing
regions. Orezone's mission is to create wealth by discovering and
developing the earth's resources in an efficient and responsible
manner.
The mineral resource estimate and technical information relating
to the Essakane project contained in this news release have been
prepared in accordance with National Instrument 43-101 Standards of
Disclosure for Mineral Projects ("NI 43-101"). The "Qualified
Persons" for the purposes of National Instrument 43-101 who
reviewed the information in respect of the Essakane project for
IAMGOLD Corporation are Rï¿1/2jean Sirois, Eng., Manager, Mining
Geology and Francis Clouston, Eng., Manager, Project Evaluation.
The technical information has been included herein with the consent
and prior review of the above noted Qualified Persons. The
Qualified Persons have verified the data disclosed, and data
underlying the information or opinions contained herein.
The mineral resource estimate related to the Bomborï¿1/2
property was prepared by Glen Cole, Dorota El-Rassi and
Jean-Franï¿1/2ois Couture of SRK Consulting (Canada) Inc. (each a
Qualified Person under NI 43-101) and documented in the Technical
Report on the Bombore Gold Project in Burkina Faso, West Africa,
dated November 17, 2008. This report is available on SEDAR at
www.sedar.com.
FORWARD-LOOKING STATEMENTS AND FORWARD-LOOKING INFORMATION: This
news release contains certain "forward-looking statements" within
the meaning of Section 21E of the United States Securities Exchange
Act of 1934, as amended, and "forward-looking information" within
the meaning of applicable Canadian securities laws. Forward-looking
statements and forward-looking information are frequently
characterized by words such as "plan," "expect," "project,"
"intend," "believe," "anticipate", "estimate" and other similar
words, or statements that certain events or conditions "may" or
"will" occur. Forward-looking statements and forward-looking
information in this new release include statements with respect to
the completion of the plan of arrangement, receipt of court and
shareholder approvals, development of the Essakane project and the
listing of Orezone Gold Corporation.
Forward-looking statements are based on certain assumptions,
opinions and estimates of management at the date the statements are
made, and are subject to a variety of risks and uncertainties that
could cause actual events or results to differ materially from
those projected in the forward-looking statements. The assumptions
include that contracted parties provide goods and/or services on
the agreed timeframes, that equipment necessary for the drilling
program is available as scheduled, that no labour shortages or
delays are incurred, that no material adverse change occurs to
either Orezone or IAMGOLD, that shareholder, court and regulatory
approvals are received in a timely manner. Factors that could cause
the forward-looking statements and forward-looking information to
differ materially in actuality include the failure of contracted
parties to perform as contracted and the failure of equipment.
Orezone and IAMGOLD undertake no obligation to update
forward-looking statements if circumstances or management's
estimates or opinions should change. The reader is cautioned not to
place undue reliance on forward-looking statements.
The securities being offered have not, nor will they be
registered under the United States Securities Act of 1933, as
amended, and may not be offered or sold within the United States or
to, or for the account or benefit of, U.S. persons absent U.S.
registration or an applicable exemption from the U.S. registration
requirements. This release does not constitute an offer for sale of
securities in the United States.
Contacts: IAMGOLD Corporation Joseph F. Conway President &
CEO (416) 360-4712 or Toll-Free: 1-888-IMG-9999 Email:
jconway@iamgold.com IAMGOLD Corporation Elaine Ellingham SVP,
Investor Relations Communications (416) 360-4743 or Toll-Free:
1-888-IMG-9999 Email: eellingham@iamgold.com Orezone Resources Inc.
Ron Little Chief Executive Officer (613) 241-3699 or Toll-Free:
1-888-673-0663 Email: rlittle@orezone.com Orezone Resources Inc.
Janet Eastman Manager, Investor Relations (613) 241-3699 or
Toll-Free: 1-888-673-0663 Email: jeastman@orezone.com
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