Business
Ero Copper Provides Corporate Update
VANCOUVER, British Columbia, March 31, 2020 (GLOBE NEWSWIRE) -- Ero Copper Corp. (TSX: ERO) (“Ero” or the “Company”) wishes to provide an update on the current
About this update from Ero Copper Corp.
[{"type":"text","content":" VANCOUVER, British Columbia, March 31, 2020 (GLOBE NEWSWIRE) -- Ero Copper Corp. (TSX: ERO) (“Ero” or the “Company”) wishes to provide an update on the current status of its operations in Brazil and an overview of the response measures undertaken by the Company and its subsidiaries in response to COVID-19. The Company has not experienced any disruption to its operations, supply chains or sales channels as a result of the COVID-19 pandemic. To date, there are no known cases of COVID-19 at any of the Company’s operations, neighboring communities, or at its corporate offices in São Paulo and Vancouver. Despite the recent decline in copper prices, the Company remains well positioned and fully funded to continue to execute its strategy. Highlighting this: Operations have operated at planned production rates and below-budget costs during the first quarter, aided by the depreciation of the Brazilian Real (“BRL”) during the period; As at December 31, 2019, the Company had US$22.9 million in cash and approximately US$30 million in available credit lines. These lines were fully drawn at the end of the first quarter of 2020, bolstering cash on hand as a precautionary measure; and, The Company is currently maintaining full-year production, capital and operating cost guidance for 2020; however, the situation related to the COVID-19 pandemic remains dynamic and the Company will provide further updates if required. Additionally, as part of its ongoing corporate strategy and unrelated to the COVID-19 pandemic, the Company has amended its existing US$150 million credit Facilities (as further defined below). Benefits of the amendment include the reduction in the Company’s overall cost of borrowing and deferral of scheduled principal payments for two years, now commencing March 2022. Commenting on the corporate update, David Strang, President and CEO, stated, “We, as an industry, are operating in unprecedented and challenging times. While the Company remains well positioned and fully funded at the prevailing copper price and foreign exchange rate, we recognize the continued uncertainty with respect to the COVID-19 pandemic and have several contingency plans in place to continue to manage our business under a variety of scenarios. We have taken extraordinary measures to mitigate the possible impacts of COVID-19 on our workforce, the Company and ou...