Ormonde Mining PLC - Saloro Financing Update
("Ormonde" or "the Company")
Saloro Financing Update
Ormonde reports that Saloro S.L.U. ("Saloro"), the operator of the
Saloro can draw from the New Term Loan on an as required basis, in tranches of at least
Under the New Term Loan, Saloro has the option to substitute drawings under the funding line with letters of credit procured by Oaktree, to support Saloro in obtaining loan funding from third party banks, rather than borrowing directly from Oaktree under the New Term Loan. Discussions are advancing with a number of third party banks in relation to this lower cost funding route.
It has also been agreed that interest on the original loan in place with Oaktree since 2015 ("OCM Facility") will be accrued in full, at a rate of 15%, over the New Term Loan's 12 month term. This will revert to 7% cash interest and 5% payment in kind ("PIK") interest at the end of this period, should certain financial covenant tests be achieved, or 7% cash interest and 7% PIK interest if tests are not achieved.
Tel: +353 (0)1 8014184
Davy (Nomad, Euronext Growth Advisor and Joint Broker)
Tel: +353 (0)1 6796363
Tel: +44 (0)20 3 470 0470
Mob: +44 (0)77 03167065
Tel: +353 (0)1 4980300
This announcement includes certain statements that may be deemed "forward-looking statements". Although the Company believes the forward-looking statements are based on reasonable assumptions, such statements should not be in any way construed as guarantees of future performance and actual results or developments may differ materially from those in the forward-looking statements.
Risk factors are typical of a mining operation, and include (but are not limited to): the availability and / or delivery of equipment and contractor services; plant performance; rates of metal recovery in the process plant; mined ore tonnages and grade in comparison to estimated ore reserves; cost overruns and the potential for future additional funding requirements; and tungsten concentrate sales prices.
Barruecopardo has been developed through a funding package agreed with
For more information, visit www.ormondemining.com
This information is provided by RNS, the news service of the
Quick facts: Ormonde Mining plc
Market Cap: £3.31 m
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