NEWS RELEASE
KIRKLAND LAKE GOLD
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TORONTO - Kirkland Lake Gold Ltd. ("Kirkland Lake Gold" or the "Company") is pleased to announce that the company's CAD $56.8 million 6 per cent unsecured convertible debentures (CUSIP 49740PAA4 and ISIN CA49740PAA45) (the "Debentures") will mature on June 30, 2017 and, pursuant to the terms of the Debentures, will be repaid in cash on the maturity date. At June 20, 2017, the Company had cash and bullion of approximately $328 million. In addition to a payment of CAD$56,836,700 with respect to the principal amount of the Debentures, the Company will also pay CAD $1,705,101 to holders of the Debentures with respect to the accrued unpaid interest up to, but excluding, the maturity date, for a total aggregate payment of CAD $58,541,801. Debenture holders are not required to take any action in connection with the repayment of the Debentures on the maturity date, as the Company will be taking all necessary steps with CDS in this regard.
Tony Makuch, president and CEO stated, "We are pleased that our strong balance sheet and solid operating and financial performance are enabling us to repay the Debentures from cash without any dilution to our shareholders."
Through internally generated cash flow, we have increased our cash and bullion by over $90 million to date in 2017, which has provided more than enough funds to repay the Debentures. The reduction in debt and interest expense resulting from repaying the Debentures comes at the same time that we have initiated a normal course issuer bid to repurchase shares and have introduced a quarterly dividend of CAD$0.01 per share (CA $0.04 per share per annum), with our first dividend payment to be made on July 14, 2017 to shareholders of record on June 30, 2017."
Amounts disclosed are in US dollars unless otherwise indicated.
About Kirkland Lake Gold Ltd.
Kirkland Lake Gold Ltd. is a mid-tier gold producer with 2017 production targeted at 530,000 - 570,000 ounces of gold from mines in Canada and Australia. The production profile of the company is anchored by two high-grade, low-cost operations, including the Macassa Mine located in northeastern Ontario and the Fosterville Mine located in the state of Victoria, Australia. Kirkland Lake Gold's solid base of quality assets is complemented by district scale exploration potential, supported by a strong financial position with extensive management and operational expertise.
For further information on Kirkland Lake Gold and to receive news releases by email, visit the website
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