LUCA RECOMMENCES PRINCIPAL LOAN REPAYMENTS
Luca Mining has resumed principal repayments on its term loans with Trafigura Mexico, marking a significant milestone in its financial strategy. The company has outstanding loans totaling US$18.1 million, including a US$5.8 million non-interest-bearing convertible loan due in January 2027 and US$12.3 million in term debt scheduled for repayment by mid-2026. Principal repayments commenced in October 2024, leveraging improved cash flow from mining operations. The company aims to be debt-free by 2027, following successful debt restructuring transactions completed in January and August 2024.
Luca Mining ha ripreso i rimborsi del capitale sui suoi prestiti a termine con Trafigura Messico, segnando una tappa importante nella sua strategia finanziaria. L'azienda ha prestiti in sospeso per un totale di 18,1 milioni di US$, inclusi un prestito convertibile non oneroso di 5,8 milioni di US$ in scadenza a gennaio 2027 e 12,3 milioni di US$ di debito a termine programmato per il rimborso entro la metà del 2026. I rimborsi del capitale sono iniziati a ottobre 2024, sfruttando il miglioramento del flusso di cassa dalle operazioni minerarie. L'azienda punta a essere libera da debiti entro il 2027, dopo aver completato con successo operazioni di ristrutturazione del debito a gennaio e agosto 2024.
Luca Mining ha reanudado los reembolsos de capital de sus préstamos a plazo con Trafigura México, marcando un hito significativo en su estrategia financiera. La compañía tiene préstamos pendientes por un total de 18.1 millones de US$, que incluyen un préstamo convertible sin interés de 5.8 millones de US$ con vencimiento en enero de 2027 y 12.3 millones de US$ en deuda a plazo programada para reembolso a mediados de 2026. Los reembolsos del principal comenzaron en octubre de 2024, aprovechando la mejora del flujo de efectivo de las operaciones mineras. La empresa tiene como objetivo estar libre de deudas para 2027, tras completar con éxito transacciones de reestructuración de deuda en enero y agosto de 2024.
루카 마이닝은 트라피구라 멕시코와의 만기 대출에 대한 원금 상환을 재개하며 재무 전략에서 중요한 이정표를 세웠습니다. 회사는 총 1,810만 달러의 미지급 대출을 보유하고 있으며, 여기에는 580만 달러의 이자 없는 전환 대출이 포함되어 있으며, 이는 2027년 1월에 만기가 되고 1,230만 달러의 만기 대출이 2026년 중반에 상환될 예정입니다. 원금 상환은 2024년 10월에 시작되었으며, 이는 광산 운영에서 발생한 현금 흐름 개선을 활용한 것입니다. 회사는 2027년까지 부채를 없앨 계획이며, 이는 2024년 1월과 8월에 완료된 성공적인 부채 재구성 거래를 따른 것입니다.
Luca Mining a repris les remboursements de capital sur ses prêts à terme avec Trafigura Mexique, marquant une étape significative dans sa stratégie financière. La société a des prêts en cours totalisant 18,1 millions US$, y compris un prêt convertible sans intérêt de 5,8 millions US$ échéant en janvier 2027 et 12,3 millions US$ de dette à terme prévue pour remboursement d'ici mi-2026. Les remboursements du capital ont commencé en octobre 2024, tirant parti de l'amélioration de la trésorerie provenant des opérations minières. L'entreprise vise à être sans dette d'ici 2027, à la suite de transactions réussies de restructuration de la dette réalisées en janvier et août 2024.
Luca Mining hat die Rückzahlungen des Kapitals auf seine Terminkredite bei Trafigura Mexiko wieder aufgenommen, was einen bedeutenden Meilenstein in seiner Finanzstrategie darstellt. Das Unternehmen hat ausstehende Kredite in Höhe von insgesamt 18,1 Millionen US$, darunter ein 5,8 Millionen US$ zinsfreies wandelbares Darlehen, das im Januar 2027 fällig wird, und 12,3 Millionen US$ an Termindarlehen, die bis Mitte 2026 zurückgezahlt werden sollen. Die Rückzahlungen des Kapitals begannen im Oktober 2024 und nutzen die verbesserte Liquidität aus dem Bergbaubetrieb. Das Unternehmen strebt an, bis 2027 schuldenfrei zu sein, nachdem im Januar und August 2024 erfolgreich Schuldenumstrukturierungen abgeschlossen wurden.
- Resumed principal loan repayments indicating improved cash flow
- Successfully restructured US$5.8M of term loan into non-interest-bearing convertible debenture
- On track to eliminate term debt by 2026
- Improved financial flexibility through extended principal payment dates
- Significant outstanding debt of US$18.1M
Luca has outstanding loans with Trafigura totaling
The Company commenced principal repayments to Trafigura on its outstanding term debt in October 2024, leveraging improved cash flow from its ongoing mining operations. This achievement reflects the Company's commitment to optimizing financial performance while focusing on operational efficiency. Luca remains focused on strengthening its balance sheet and reducing debt to support its long-term financial stability.
"Recommencing principal repayments marks a pivotal moment for Luca as we continue to enhance our financial stability," said Lisa Dea, CFO. "Our improved cash flow allows us to confidently resume debt repayments while maintaining our growth trajectory. This marks a critical step in strengthening our balance sheet and we are well-positioned to be debt-free by 2027. We are focused on using our cash flow to support both debt reduction and the continued success of our operations" <Listen to Lisa explain the company's plans>
As Luca reduces its debt, the Company expects to gain greater financial flexibility, enabling a focus on future growth opportunities and enhancing long-term shareholder value.
Luca's favourable debt status is a result of the Company successfully completing a restructuring transaction with Trafigura in January of this year. (See news release dated January 19, 2024.) The key result of this transaction was converting
Corporate Update
The Company also reports that Mr. Chris Richings, VP of Technical, has resigned from his position to pursue a new career opportunity. The Company would like to thank Chris for his valuable contributions to Luca. His expertise and dedication have been instrumental to our progress, and we wish him continued success in his future endeavors.
About Luca Mining Corp.
Luca Mining Corp (TSX-V: LUCA, OTCQX: LUCMF, Frankfurt: Z68) is a diversified Canadian mining company with two
The
The Tahuehueto Gold and Silver Mine, Luca's newest underground operation in Durango State, is a key addition to the Company's portfolio and to the region's mining landscape. The mill at Tahuehueto is now in the commissioning phase, with commercial production expected by year-end
On Behalf of the Board of Directors
(signed) "Dan Barnholden"
Dan Barnholden, Chief Executive Officer
For more information, please visit: www.lucamining.com
Cautionary Note Regarding Forward-Looking Statements
It should be noted that Luca declared commercial production at
Statements contained in this news release that are not historical facts are "forward-looking information" or "forward-looking statements" (collectively, "Forward-Looking Information") within the meaning of applicable Canadian securities laws. Forward Looking Information includes, but is not limited to, impact of debt reduction on the Company's operations; conditions or financial performance that are based on assumptions about future economic conditions and courses of action; the timing and costs of future activities on the Company's properties. In certain cases, Forward-Looking Information can be identified using words and phrases such as "plans," "expects," "scheduled," "estimates," "forecasts," "intends," "anticipates" or variations of such words and phrases. In preparing the Forward-Looking Information in this news release, the Company has applied several material assumptions, including, but not limited to, the impact of debt reduction on the Company's operations and operating performance, and increased financial flexibility resulting from such debt reduction. Forward-Looking Information involves known and unknown risks, uncertainties and other factors which may cause the actual results, performance, or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by the Forward-Looking Information. There can be no assurance that Forward-Looking Information 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 Information. Except as required by law, the Company does not assume any obligation to release publicly any revisions to Forward-Looking Information contained in this news release to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
View original content to download multimedia:https://www.prnewswire.com/news-releases/luca-recommences-principal-loan-repayments-302296299.html
SOURCE Luca Mining Corp.
FAQ
What is the total outstanding loan amount for Luca Mining (LUCMF) with Trafigura?
When did Luca Mining (LUCMF) resume principal loan repayments?
When is Luca Mining (LUCMF) expected to be debt-free?
What was the value of the debt restructuring completed by Luca Mining (LUCMF) in January 2024?
