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Cerrado Gold Tender Process Oversubscribed with Two International Banks Selected to Act as Mandated Lead Arrangers for Export Credit Agency Supported Non-Recourse Project Financing for Its Monte Do Carmo Project in Brazil and its Mont Sorcier Project in Quebec
Two Banks selected to act separately as Mandated Lead Arrangers for Monte Do Carmo gold project, ...
About this update from Cerrado Gold Inc
[{"type":"text","content":"Cerrado Gold Tender Process Oversubscribed with Two International Banks Selected to Act as Mandated Lead Arrangers for Export Credit Agency Supported Non-Recourse Project Financing for Its Monte Do Carmo Project in Brazil and its Mont Sorcier Project in QuebecTwo Banks selected to act separately as Mandated Lead Arrangers for Monte Do Carmo gold project, Brazil and for the Mont Sorcier iron project, QuebecCerrado expects to complete on-boarding and appointment process in coming weeks(All numbers reported in US dollars)TORONTO, ON / ACCESSWIRE / October 18, 2023 / Cerrado Gold Inc. (TSX.V:CERT)(OTCQX:CRDOF) (\"Cerrado\" or the \"Company\") is pleased to announce that it has completed the tender process for its Export Credit Agency (\"ECA\") Supported Non-Recourse Project Financing, and expects to complete the on-boarding and appointment process within the next few weeks. The Company has chosen two international banks to act as MLAs; one for the Monte Do Carmo Project (\"MDC\") and another as MLA for its Mont Sorcier Project (\"MS\") in Quebec.As announced on September 5th, the Company together with its advisors, SD Capital Advisory Ltd and GKB Ventures Ltd (\"S&G\"), initiated a tender process to solicit interest from a number of global Project Finance Banks to act as MLA for the Company's ECA Supported Non-Recourse Project Financing, supported by the UK Export Finance agency (\"UKEF\"). As a result of this process the company received several compelling bids and have evaluated the bids based on experience, execution capabilities and financial terms. The institutions selected have extensive experience in ECA financing, a longstanding relationship with UKEF and presented competitive terms for the financing. The Company is currently undertaking a review of formal engagement letters with each Bank and will announce the banks and their terms once signed.As outlined previously, UKEF has expressed an interest to provide support for up to US$190 million for the MDC Project and up to US$420 million for the MS Project, representing 70% of total capital expenditure, interest payable during construction, political risk insurance premium as well as other approved expenditures for each project.The appointment of the MLAs is a significant milestone for the project financing requirements for both the MDC and MS Projects. The next phase of t...