Trevali Mining Corporation (TSX:TV,OTCQX:TREVF,LMA:TV,FWB:4TI) received in-principle approval from RMB Resources (the resource financing division of the FirstRand Group of South Africa) for $30 million of funding for the Company’s $60-million senior debt and prepaid precious metals facility in New Brunswick.
As quoted in the press release:
This mezzanine tranche of the RMB facility is repayable on the earlier of June 30, 2014, or closing of the final $60-million senior debt facility. The facility bears interest of LIBOR + 8.5% per annum and has an arrangement fee of 5% and 3,000,000 warrants to purchase Trevali common shares on the TSX, issued on the closing date of the facility and exercisable at any time through June 30, 2015 at an exercise price of $1.25 per share, subject to TSX approval.
Trevali Mining Corporation President and CEO, Dr. Mark Cruise said:
We are very pleased with the approval of the initial $30-million funding by RMB as we continue to focus on advancing our mill and mine development operations in New Brunswick towards production, and securing the final $60 million in senior debt and prepaid silver facilities as previously announced. In addition to the imminent commissioning of our Santander Mine in Peru, Trevali aims to maximize its zinc production profile with planned output from Bathurst Mining Camp operations, and looks to benefit from the robust outlook for the commodity in light of the many forecast closures of major zinc producers globally.