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Artemis Gold Closes $385 Million Project Loan Financing And $40 Million Standby Cost Overrun Facility
All figures presented in Canadian Dollars, unless specified otherwise VANCOUVER, BC, March 1, 2023 /CNW/ - Artemis Gold Inc. – (TSXV: ARTG) ("Artemis" or the "C
About this update from Artemis Gold Inc
[{"type":"text","content":" All figures presented in Canadian Dollars, unless specified otherwise VANCOUVER, BC, March 1, 2023 /CNW/ - Artemis Gold Inc. – (TSXV: ARTG) (\"Artemis\" or the \"Company\") is pleased to announce that on February 28, 2023 it executed definitive documents for a syndicated project facility with National Bank of Canada (\"National Bank\"), Macquarie Bank Limited (\"Macquarie\") , ING Capital LLC (\"ING\"), Société Générale (\"SocGen\") and Bank of Montreal (\"BMO\") (collectively, the \"Lenders\") in respect of its previously announced $385 million Project Loan Facility (\"PLF\") to fund a significant component of the estimated construction costs of the Company's Blackwater Gold Project (\"Blackwater\", or the \"Project\") in central British Columbia. The PLF also provides for a $40 million standby cost overrun facility (\"Standby COF\"). The terms of the PLF are substantially consistent with those announced in the Company's news release dated February 24, 2022 and include the following: Facility Amount - $360 million, plus up to $25 million for capitalized interest prior to Project completion, plus a $40 million Standby COF. The Company may cancel the Standby COF once Project development reaches completion. Interest Rate – Canadian Dealer Offered Rate (\"CDOR\"), plus a margin of 4.75% pre-project completion, reducing to 4.25% post-completion. Any amounts drawn on the Standby COF will carry the above pricing plus an additional 2%. Fees – Customary Upfront and standby fees for a facility of this nature. Repayment and Maturity – Principal and capitalized interest will be repayable in quarterly installments over six years, commencing in the third quarter following commercial production, with reduced repayments during the period when the Company expects to undertake its expansion of the Project from phase 1 to phase 2. The PLF can be prepaid at anytime without penalty. Hedging - A hedging program is expected to be put in place prior to utilization of the PLF. In order to limit the Company's exposure to lower gold prices early in the mine life including during pay-back and in support of overall project economics, the extent of the hedge program may range from 185,000 gold ounces to 300,000 gold ounces. Utilizing the PLF is subject to the satisfaction of certain customary conditions precedent. The PLF i...