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Rogue Stone Update: On Track to Acquire Orillia in March, New Debt Financing Arranged, Private Placement Announced
NOT FOR DISSEMINATION IN THE UNITED STATES OF AMERICA OR TO US WIRE SERVICES The Orillia Q...
About this update from Clean Energy Transition Inc.
[{"type":"text","content":"Rogue Stone Update: On Track to Acquire Orillia in March, New Debt Financing Arranged, Private Placement AnnouncedNOT FOR DISSEMINATION IN THE UNITED STATES OF AMERICA OR TO US WIRE SERVICESThe Orillia Quarry has been in continuous operation for more than 25 years.Licensed to produce 20,000 tonnes per year.Over the last 5 years the Orillia Quarry has averaged $131/tonne in Revenue and $68/tonne operating expense on 2,722 tonnes of production per year.$1.8M of new Debt Financing arranged with a leading Canadian, non-bank lender.Debt Financing to fund the Orillia Purchase Price and close out the inherited second mortgage on Bobcaygeon.Rogue intends to raise $300,000 in Equity, through a non-brokered Private PlacementThe acquisition remains subject to final legal due diligence by the lender, payment of the remaining Purchase Price, transfer of the license and TSXV final approval.TORONTO, ON / ACCESSWIRE / February 25, 2020 / Rogue Resources Inc. (TSX-V:RRS) (\"Rogue\" or the \"Company\") is pleased to announce it is on track to acquire 100% of the Speiran Quarry (east of Orillia, Ontario), also referred to as \"Orillia Quarry,\" in early March. This acquisition will be Rogue's second operating quarry in its Limestone business, referred to as \"Rogue Stone\".Rogue has paid a $25,000 advance deposit and the remaining $1,355,000 cash payment will be made, prior to closing (the \"Closing\"). This acquisition includes all inventory at the Orillia Quarry and on-site equipment (see further detail in the November 21, 2019 news release). The Sellers completed their seasonal wrap up of 2019 operations at the Orillia Quarry in November and Rogue Stone intends to restart production and sales soon after Closing. Similar to the Bobcaygeon Quarry, operations are a two (Bulk) or three step (Skidded) process at Orillia. First, stone is extracted by layer, using the teeth of an excavator or the forks of a loader. The second step is for the stone to be roughly shaped and then either loaded in Bulk or, further shaped and piled on a skid (Skidded). Bulk product is loaded straight onto a flatbed trailer and Skidded product incorporates loading ~2. - 3 tons of stone onto a wooden pallet, which is then placed on a flatbed trailer. Sales terms for the limestone products are straightforward, with ownership transferring at the quarry once the stone has been ...