Condor Gold Plc £475,000 Loan Facility
Condor Gold has secured an unsecured term loan facility of £475,000 from Galloway , a company owned by Chairman Jim Mellon who holds 26.13% of Condor's shares. The facility includes £200,000 available from November 4, 2024, and £275,000 from December 2, 2024, with a 20% interest rate. The loan must be repaid upon completion of the SAG Mill sale, company asset sale, share capital sale, or within 12 months from November 14, 2024. The funds will be used for general working capital purposes.
Condor Gold ha ottenuto una linea di prestito unsecured di £475.000 da Galloway, un'azienda di proprietà del presidente Jim Mellon, che detiene il 26,13% delle azioni di Condor. La struttura prevede £200.000 disponibili dal 4 novembre 2024 e £275.000 dal 2 dicembre 2024, con un tasso d'interesse del 20%. Il prestito deve essere rimborsato al completamento della vendita della SAG Mill, della vendita di beni aziendali, della vendita di capitale azionario o entro 12 mesi dal 14 novembre 2024. I fondi saranno utilizzati per esigenze di capitale circolante generale.
Condor Gold ha asegurado una línea de préstamo no garantizada de £475,000 de Galloway, una empresa propiedad del presidente Jim Mellon, que posee el 26.13% de las acciones de Condor. La instalación incluye £200,000 disponibles desde el 4 de noviembre de 2024 y £275,000 desde el 2 de diciembre de 2024, con una tasa de interés del 20%. El préstamo debe ser reembolsado tras la finalización de la venta de la SAG Mill, la venta de activos de la empresa, la venta de acciones o dentro de los 12 meses a partir del 14 de noviembre de 2024. Los fondos se utilizarán para propósitos generales de capital de trabajo.
Condor Gold는 회장 Jim Mellon이 소유한 Galloway로부터 £475,000의 무담보 만기 대출 시설을 확보했습니다. Mellon은 Condor의 주식 26.13%를 보유하고 있습니다. 이 대출 시설은 2024년 11월 4일부터 사용할 수 있는 £200,000과 2024년 12월 2일부터 사용할 수 있는 £275,000을 포함하며, 이자율은 20%입니다. 대출은 SAG Mill 판매 완료, 회사 자산 판매, 주식 자본 판매 또는 2024년 11월 14일부터 12개월 이내에 상환해야 합니다. 자금은 일반 운영 자본 목적으로 사용될 것입니다.
Condor Gold a obtenu une ligne de prêt non garanti de £475,000 de Galloway, une société appartenant au président Jim Mellon, qui détient 26,13 % des actions de Condor. La facilité comprend £200,000 disponibles à partir du 4 novembre 2024 et £275,000 à partir du 2 décembre 2024, avec un taux d'intérêt de 20 %. Le prêt doit être remboursé à l'issue de la vente du SAG Mill, de la vente d'actifs de l'entreprise, de la vente de actions, ou dans les 12 mois suivant le 14 novembre 2024. Les fonds seront utilisés pour des besoins de fonds de roulement général.
Condor Gold hat eine ungesicherte Darlehensfazilität in Höhe von £475.000 von Galloway, einem Unternehmen, das dem Vorsitzenden Jim Mellon gehört, der 26,13 % der Anteile von Condor hält, gesichert. Die Fazilität umfasst £200.000, die ab dem 4. November 2024 verfügbar sind, und £275.000 ab dem 2. Dezember 2024, mit einem Zinssatz von 20 %. Das Darlehen muss nach Abschluss des Verkaufs der SAG Mill, dem Verkauf von Unternehmensvermögen, dem Verkauf von Eigenkapital oder innerhalb von 12 Monaten ab dem 14. November 2024 zurückgezahlt werden. Die Mittel werden für allgemeine Betriebskapitalzwecke verwendet.
- Secured £475,000 in immediate working capital funding
- Strong support from major shareholder (26.13% ownership) demonstrates confidence in company
- High interest rate of 20% on the loan facility
- Short-term loan maturity of 12 months indicates potential cash flow concerns
- Related party transaction might raise governance concerns
LONDON, UNITED KINGDOM / ACCESSWIRE / November 14, 2024 / GODALMING, UK / ACCESSWIRE / November 14, 2024 / Condor Gold plc ("Condor Gold", "Condor", the "Group" or the "Company"), (AIM:CNR)(TSX:COG) is pleased to announce it has entered into an unsecured term loan facility (the "Facility") with Galloway Limited for up to £475,000.
Galloway Limited is a company wholly owned by Burnbrae Group Limited which is, in turn, wholly owned by Jim Mellon, Condor's Chairman. Galloway Limited owns
£200,000 is available from the 4 November 2024 and £275,000 is available from 2 December 2024. Any amount of the Facility not drawn down by 31 December 2024 will automatically be cancelled.
The unsecured term loan facility carries an interest rate of
The use of proceeds for the money borrowed under the Facility is for general working capital purposes, as set out in an agreed budget with Galloway Limited.
The provision of the Facility is a Related Party Transaction under AIM Rule 13. Accordingly, the Independent Directors, being Mark Child, Ian Stalker and Andrew Cheatle having consulted with the Company's nominated adviser, Beaumont Cornish Limited, consider the terms of the Facility to be fair and reasonable insofar as shareholders are concerned.
TSX Matters
The Company is relying on the exemption provided for pursuant to Section 602.1 of the TSX Company Manual (the "Manual") from the requirements of the Manual and the TSX relating to the issue of New Shares Ordinary, including the requirements of Section 613 of the Manual, as the Company is an "Eligible Interlisted Issuer" as defined in the Manual.
For further information please visit www.condorgold.com or contact:
Condor Gold plc | Mark Child, CEO |
Beaumont Cornish Limited | Roland Cornish and James Biddle |
SP Angel Corporate Finance LLP | Ewan Leggat |
H&P Advisory Limited | Andrew Chubb, Matt Hasson, Jay Ashfield |
Adelaide Capital (Investor Relations) | Deborah Honig |
About Condor Gold plc:
Condor Gold plc was admitted to AIM in May 2006 and dual listed on the TSX in January 2018. The Company is a gold exploration and development company with a focus on Nicaragua.
The Company's principal asset is La India Project, Nicaragua, which comprises of a large, highly prospective land package of 588 sq km comprising of 12 contiguous and adjacent concessions. The Company has filed a feasibility study technical report dated 25 October 2022 and entitled "Condor Gold Technical Report on the La India Gold Project, Nicaragua, 2022" (the "2022 FS") which is available on the Company's SEDAR profile at www.sedar.com and was prepared in accordance with the requirements of NI 43-101. The 2022 FS indicated that La India Project hosts a high grade Mineral Resource Estimate ("MRE") of 9,672 kt at 3.5g/t gold for 1,088,000 oz gold in the indicated mineral resource category and 8,642 kt at 4.3 g/t gold for 1,190,000 oz gold in the inferred mineral resource category. The open pit MRE is 8,693 kt at 3.2 g/t gold for 893,000 oz gold in the indicated mineral resource category and 3,026 kt at 3.0 g/t gold for 291,000 oz gold in the inferred mineral resource category. Total underground MRE is 979 kt at 6.2 g/t gold for 94,000 oz gold in the indicated mineral resource category and 5,615 kt at 5.0 g/t gold for 98,000 oz gold in the inferred mineral resource category.
The 2022 FS replaces the previously reported Preliminary Economic Assessment ("PEA") as presented in the Technical Report filed on SEDAR in October 2021 as the current technical report for the La India project.
The 2021 PEA considered the expanded Project inclusive of the exploitation of the Mineral Resources associated to the La India, Mestiza, America and Central Breccia deposits. The strategic study covers two scenarios: Scenario A, in which the mining is undertaken from four open pits, termed La India, America, Mestiza and Central Breccia Zone ("CBZ"), which targets a plant feed rate of 1.225 million tonnes per annum ("Mtpa"); and Scenario B, where the mining is extended to include three underground operations at La India, America and Mestiza, in which the processing rate is increased to 1.4 Mtpa. The 2021 PEA Scenario B presented a post-tax, post upfront capital expenditure NPV of US
In August 2018, the Company announced that the Ministry of the Environment in Nicaragua had granted the Environmental Permit ("EP") for the development, construction and operation of a processing plant with capacity to process up to 2,800 tonnes per day at its wholly-owned La India gold Project ("La India Project"). The EP is considered the master permit for mining operations in Nicaragua. Condor has purchased a new SAG Mill, which has mainly arrived in Nicaragua. Site clearance and preparation is at an advanced stage.
Environmental Permits were granted in April and May 2020 for the Mestiza and America open pits respectively, both located close to La India. The Mestiza open pit hosts 92 Kt at a grade of 12.1 g/t gold (36,000 oz contained gold) in the Indicated Mineral Resource category and 341 Kt at a grade of 7.7 g/t gold (85,000 oz contained gold) in the Inferred Mineral Resource category. The America open pit hosts 114 Kt at a grade of 8.1 g/t gold (30,000 oz) in the Indicated Mineral Resource category and 677 Kt at a grade of 3.1 g/t gold (67,000 oz) in the Inferred Mineral Resource category. Following the permitting of the Mestiza and America open pits, together with the La India open pit Condor has 1.12 M oz gold open pit Mineral Resources permitted for extraction.
Disclaimer
Neither the contents of the Company's website nor the contents of any website accessible from hyperlinks on the Company's website (or any other website) is incorporated into, or forms part of, this announcement.
Qualified Persons
The technical and scientific information in this press release has been reviewed, verified and approved by Andrew Cheatle, P.Geo., a director of Condor Gold plc, and Gerald D. Crawford, P.E., the Chief Technical Officer of Condor Gold plc, each of whom is a "qualified person" as defined by NI 43-101.
Nominated Adviser
Beaumont Cornish Limited ("Beaumont Cornish") is the Company's Nominated Adviser and is authorised and regulated by the FCA. Beaumont Cornish's responsibilities as the Company's Nominated Adviser, including a responsibility to advise and guide the Company on its responsibilities under the AIM Rules for Companies and AIM Rules for Nominated Advisers, are owed solely to the London Stock Exchange. Beaumont Cornish is not acting for and will not be responsible to any other persons for providing protections afforded to customers of Beaumont Cornish nor for advising them in relation to the proposed arrangements described in this announcement or any matter referred to in it.
Forward Looking Statements
All statements in this press release, other than statements of historical fact, are ‘forward-looking information' with respect to the Company within the meaning of applicable securities laws, including statements with respect to: the issuance of the Payment Shares, including the receipt of the approvals of AIM and the TSX; future development and production plans, projected capital and operating costs, mine life and production rates, metal or mineral recovery estimates, Mineral Resource, Mineral Reserve estimates at the La India Project, the potential to convert Mineral Resources into Mineral Reserves, the Company's plans to sell the assets of the Company or seek alternatives to an asset sale and the construction timeline of the La India project upon receipt of financing. Forward-looking information is often, but not always, identified by the use of words such as: "seek", "anticipate", "plan", "continue", "strategies", "estimate", "expect", "project", "predict", "potential", "targeting", "intends", "believe", "potential", "could", "might", "will" and similar expressions. Forward-looking information is not a guarantee of future performance and is based upon a number of estimates and assumptions of management at the date the statements are made including, among others, assumptions regarding: future commodity prices and royalty regimes; availability of skilled labour; timing and amount of capital expenditures; future currency exchange and interest rates; the impact of increasing competition; general conditions in economic and financial markets; availability of drilling and related equipment; effects of regulation by governmental agencies; the receipt of required permits; royalty rates; future tax rates; future operating costs; availability of future sources of funding; ability to obtain financing and assumptions underlying estimates related to adjusted funds from operations. Many assumptions are based on factors and events that are not within the control of the Company and there is no assurance they will prove to be correct.
Such forward-looking information involves known and unknown risks, which may cause the actual results to be materially different from any future results expressed or implied by such forward-looking information, including, risks related to: mineral exploration, development and operating risks; estimation of mineralisation and resources; environmental, health and safety regulations of the resource industry; competitive conditions; operational risks; liquidity and financing risks; funding risk; exploration costs; uninsurable risks; conflicts of interest; risks of operating in Nicaragua; government policy changes; ownership risks; permitting and licencing risks; artisanal miners and community relations; difficulty in enforcement of judgments; market conditions; stress in the global economy; current global financial condition; exchange rate and currency risks; commodity prices; reliance on key personnel; dilution risk; payment of dividends; as well as those factors discussed under the heading "Risk Factors" in the Company's annual information form for the fiscal year ended December 31, 2021 dated March 29, 2022 and available under the Company's SEDAR profile at www.sedar.com.
Although the Company has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking information, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate as actual results and future events could differ materially from those anticipated in such statements. The Company disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise unless required by law.
SOURCE: Condor Gold plc
View the original press release on accesswire.com
FAQ
What is the interest rate on Condor Gold's (CNDGF) new loan facility?
When does Condor Gold's (CNDGF) £475,000 loan facility need to be repaid?
Who provided the £475,000 loan facility to Condor Gold (CNDGF)?
