Claude Enters Into Royalty Transaction with Orion Mine Finance
Summary
SASKATOON, March 20, 2014 /PRNewswire/ - Claude Resources Inc. ("Claude" and or the "Company") (TSX: CRJ; OTCQB: CLGRF) today announced that it has completed a Net Smelter Return ("NSR") royalty agreement with Orion Mine Finance Fund ("Orion") on the Seabee Gold Operation for proceeds of U.S. $12 million for a three (3) percent NSR.Neil McMillan, President and CEO stated, "Orions partnership comes at a pivotal time for Claude and specifically for the Seabee Gold Operation as we move the Santoy Gap into our production profile. Orions confidence in our long-term plan demonstrates the opportunities that exist at the Seabee Gold Operation to increase production, margins and, in turn, shareholder value. The combination of the royalty proceeds and the sale of the Madsen Gold Project provide the Company with the financial strength to execute on our long-term plan. The NSR payments will be paid quarterly in cash or in physical gold at the average price of gold in each calendar month.The use of proceeds from the transaction will be used for further development at the Seabee Gold Operation and for general working capital purposes.Medalist Capital Ltd has acted as advisor to Claude with respect to the NSR purchase.Claude Resources Inc. is a public company based in Saskatoon, Saskatchewan, whose shares trade on the Toronto Stock Exchange (TSX: CRJ) and the OTCQB (OTCQB: CLGRF). Claude is a gold exploration and mining company with an asset base located entirely in Canada.