Business
Contango ORE Closes Secured Credit Facility With ING and Macquarie to Fund the Construction of the Manh Choh Gold Project
HOUSTON, Texas / May 18, 2023 / Business Wire / Contango ORE, Inc. (“CORE,” “Contango” or the “Company”) (NYSE American: CTGO) is pleased to announce that it an
About this update from Contango Silver & Gold Inc.
[{"type":"text","content":"HOUSTON, Texas / May 18, 2023 / Business Wire / Contango ORE, Inc. (“CORE,” “Contango” or the “Company”) (NYSE American: CTGO) is pleased to announce that it and its subsidiaries have entered into a Credit and Guaranty Agreement with ING Capital LLC (“ING”) and Macquarie Bank Limited (“Macquarie”) for a senior secured loan facility of up to US$70 million, of which $65 million is committed and subject to certain conditions, to fund its portion of the pre-production construction and working capital/operating expenditures for the Manh Choh gold project in Alaska (“Manh Choh”), which is owned and operated by the Company’s 30% owned Peak Gold, LLC (“PGJV”). PGJV has received the federal permits needed for road construction and early work construction, which has been underway since August 2022 and continued throughout the winter months. PGJV also received the State of Alaska approval for the Mine Operating and Closure Plan on May 15, 2023 and mine site construction work will be underway shortly. First gold production from the project is expected in the second half of 2024. Rick Van Nieuwenhuyse, the Company’s President and Chief Executive Officer, said, “We are very pleased to have finalized the up to $70 million credit facility with two of the mining industry’s leading financial institutions. Building upon the relationship with these two institutions will be a key part of growing the Company going forward. I am also very excited to announce that the Waste Management Plan, Plan of Operations, and Reclamation and Closure Plan has been approved by the State of Alaska Departments of Environmental Conservation and Natural Resources. On behalf of Contango’s Board and shareholders, we thank all those involved for their efforts. With these approvals, PGJV is now able to start mine site facility construction. Kiewit was hired as the mining constructor and is responsible for preparing the Manh Choh site for all mining-related activities, which will start immediately. Other major contracts have been signed with Black Gold Transport, a local Alaska contractor based in North Pole, Alaska to transport the run-of-mine ore to the Fort Knox Facility and a Tolling Agreement has been signed with Fort Knox Mine to process the PGJV ores. \"Now that the major contracts are signed, and financing and permitting are concluded, all the elements are in place t...