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Entree Gold Welcomes Signing of US$4.4 Billion Project Finance Facility for Underground Development at Oyu Tolgoi
VANCOUVER, BRITISH COLUMBIA--(Marketwired - Dec. 15, 2015) - Entrée Gold Inc. (TSX:ETG)(NYSE MKT:EGI)(FRANKFURT:EKA) - ("Entrée" or the "Company") welcomes toda
About this update from Entree Resources Ltd
[{"type":"text","content":" VANCOUVER, BRITISH COLUMBIA--(Marketwired - Dec. 15, 2015) - Entrée Gold Inc. (TSX:ETG)(NYSE MKT:EGI)(FRANKFURT:EKA) - (\"Entrée\" or the \"Company\") welcomes today's announcement by its joint venture partner, Oyu Tolgoi LLC (\"OTLLC\"), that it has signed a US$4.4 billion finance facility for underground mine development at the Oyu Tolgoi project. The facility is being provided by a syndicate of international financial institutions and export credit agencies representing the governments of Canada, the United States and Australia, along with 15 commercial banks. Stephen Scott, CEO of Entrée stated: \"This financing package is the next critical step towards the restart of underground development, which could happen as early as mid-2016. By committing to fund an aggregate US$4.4 billion, with provision for up to US$6 billion, the international financial community has signaled its ongoing confidence in the tremendous potential of the Oyu Tolgoi project and Mongolia. A project of this magnitude has the ability to positively impact the Mongolian economy and bring substantial benefits to its people, as well as other Oyu Tolgoi stakeholders, for decades to come. From Entrée's perspective, it is very exciting to be on the cusp of development of the Oyu Tolgoi block cave mining operation, which includes the Entrée-OTLLC joint venture's Hugo North Extension deposit.\" Entrée has a 20% carried interest in the Hugo North Extension and Heruga deposits, which are included in the 12 kilometre-long Oyu Tolgoi series of copper-gold-molybdenum deposits. Under the terms of the Entrée-OTLLC joint venture, Entrée is only responsible for 20% of joint venture costs incurred on the joint venture property. Entrée has elected to have OTLLC finance its share of joint venture costs with interest accruing at OTLLC's actual cost of capital or prime plus 2%, whichever is less. Debt repayment may be made in whole or in part from 90% of Entrée's share of monthly available cash flow. ABOUT ENTRÉE GOLD INC. Entrée Gold Inc. is a Canadian mineral exploration company balancing opportunity and risk with key assets in Mongolia and Nevada. As a joint venture partner with a carried interest on a portion of the Oyu Tolgoi mining project in Mongolia, Entrée has a unique opportunity to participate in one of the world's largest copper-gold projects managed by one of the ...