Toronto Stock Exchange: G
New York Stock Exchange: GG
GOLDCORP ANNOUNCES SECONDARY OFFERING OF SILVER WHEATON SHARES
VANCOUVER, BRITISH COLUMBIA, January 31, 2008 - GOLDCORP INC.
is pleased to announce that it has entered into an agreement with a syndicate
of underwriters co-led by Macquarie Capital Markets Canada Ltd., Genuity
Capital Markets and GMP Securities L.P., with Macquarie Capital Markets Canada
Ltd. and Genuity Capital Markets as co-bookrunners, pursuant to which the
underwriters have agreed to purchase from Goldcorp, on a bought deal basis,
108,000,000 common shares of Silver Wheaton Corp. at a price of C$14.50 per
Common Share for aggregate gross proceeds to Goldcorp of C$1,566,000,000. The
offering represents the sale of all of Goldcorp's remaining interest in Silver
Wheaton and Silver Wheaton will not receive any proceeds from the offering.
The share sale is consistent with Goldcorp's commitment to simplifying its
corporate structure and strengthening its balance sheet. The proceeds from the
transaction provide Goldcorp with the financial flexibility to fund an expected
50% growth in gold production over the next five-year period and will provide
financial flexibility for future growth opportunities. Capital spending over
the next five years is expected to be over US$3.9 billion, including funding
completion of the Pe�asquito, �l�onore and Cerro Blanco projects as well as
providing sustaining capex at operating mines. Not included in this figure is
the possible construction of the Pueblo Viejo project in the Dominican Republic
(Barrick 60%, Goldcorp 40%) which remains under feasibility review.
The offering is being made pursuant to a short form prospectus filed with
the securities regulators in each of the provinces of Canada and under the
multi-jurisdictional disclosure system in the United States.
A preliminary short form prospectus relating to the securities has been
filed with the securities regulators in each of the provinces of Canada and a
registration statement relating to these securities has been filed with the
United States Securities and Exchange Commission but has not yet become
effective. These securities may not be sold nor may offers to buy be accepted prior
to the time the registration statement becomes effective. A copy of the
preliminary short form prospectus and registration statement may be obtained
from Marilia Costa by telephone at (416) 848-3662.
The Offering is scheduled
to close on or about February 14, 2008 and is subject to certain conditions
including, but not limited to, the receipt of all necessary approvals.
Goldcorp is the world's
fastest growing and lowest-cost multi-million ounce gold producer with
operations throughout the Americas. Gold production and reserves from the
Company's strong portfolio of mines and projects remains 100% unhedged.
Cautionary Note Regarding Forward-Looking Statements
This press release contains "forward-looking statements", within the
meaning of the United States Private Securities Litigation Reform Act of 1995
and applicable Canadian securities legislation, concerning the business,
operations and financial performance and condition of Goldcorp. Forward-looking
statements include, but are not limited to, statements with respect to the
future price of gold, silver and copper, the estimation of mineral reserves and
resources, the realization of mineral reserve estimates, the timing and amount
of estimated future production, costs of production, capital expenditures,
costs and timing of the development of new deposits, success of exploration
activities, permitting time lines, hedging practices, currency exchange rate
fluctuations, requirements for additional capital, government regulation of
mining operations, environmental risks, unanticipated reclamation expenses,
timing and possible outcome of pending litigation, title disputes or claims and
limitations on insurance coverage. Generally, these forward-looking statements
can be identified by the use of forward-looking terminology such as
"plans", "expects" or "does not expect", "is
expected", "budget", "scheduled",
"estimates", "forecasts", "intends",
"anticipates" or "does not anticipate", or
"believes", or variations of such words and phrases or state that
certain actions, events or results "may", "could",
"would", "might" or "will be taken",
"occur" or "be achieved". Forward-looking statements are
subject to known and unknown risks, uncertainties and other factors that may
cause the actual results, level of activity, performance or achievements of
Goldcorp to be materially different from those expressed or implied by such
forward-looking statements, including but not limited to: risks related to the
integration of acquisitions; risks related to international operations; risks
related to joint venture operations; actual results of current exploration
activities; actual results of current reclamation activities; conclusions of
economic evaluations; changes in project parameters as plans continue to be
refined; future prices of gold, silver, copper, lead and zinc; possible
variations in ore reserves, grade or recovery rates; failure of plant,
equipment or processes to operate as anticipated; accidents, labour disputes
and other risks of the mining industry; delays in obtaining governmental
approvals or financing or in the completion of development or construction
activities, as well as those factors discussed in the section entitled
"Description of the Business - Risk Factors" in Goldcorp's Annual
Information Form for the year ended December 31, 2006, available on
www.sedar.com, and Form 40-F for the year ended December 31, 2006 on file with
the United States Securities and Exchange Commission in Washington, D.C.
Although Goldcorp has attempted to identify important factors that could cause
actual results to differ materially from those contained in forward-looking
statements, there may be other factors that cause results not to be as
anticipated, estimated or intended. There can be no assurance that such
statements will prove to be accurate, as actual results and future events could
differ materially from those anticipated in such statements. Accordingly,
readers should not place undue reliance on forward-looking statements. Goldcorp
does not undertake to update any forward-looking statements that are
incorporated by reference herein, except in accordance with applicable
securities laws.
For further information, please contact:
Jeff Wilhoit
Vice President, Investor Relations
Goldcorp Inc.
Telephone: (604) 696-3074
Fax: (604) 696-3001
e-mail: info@goldcorp.com
website: www.goldcorp.com