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Gold & silver

Bluebird Merchant in talks over debt finance for Korean projects as coronavirus impact eases

The loan will be repaid from production from the Gobang and Kochang mines

Bluebird Merchant Ventures Ltd (LON:BMV) said it has teed up US$5mln of debt finance for its gold mine projects in South Korea.

Talks are underway with the lender over borrowings that will be repaid by production from the Gobang and Kochang mines.

WATCH: Bluebird Merchant Ventures sorts non-dilutive funding to bring both Korea mines into production

As an interim funding measure, Bluebird has borrowed £200,000 from investors until funding for the projects is received.

This loan runs for five months and carries fixed interest of £10,000 payable at the end of the term. Warrants exercisable at 1.3p area also attached.

The company has also issued 5mln shares following the conversion of a loan from a service provider.

South Korea is returning to normal following the coronavirus outbreak in the country and Bluebird does not believe that there will be any long-term impact on its operations.

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