Business
Farallon Closes US$30 Million Term Loan with Credit Suisse
BALANCE SHEET TO BE STRENGTHENED ACCORDINGLY /NOT FOR DISTRIBUTION TO U.S. NEWS WIRE SERVICES OR ...
About this update from First Atlantic Nickel & Cobalt Corp.
[{"type":"text","content":"\n\n\n\nBALANCE SHEET TO BE STRENGTHENED ACCORDINGLY\n\n/NOT FOR DISTRIBUTION TO U.S. NEWS WIRE SERVICES OR DISSEMINATION IN THE\nUNITED STATES/\n\n\nVANCOUVER, June 8 /CNW/ - Farallon Mining Ltd. ("Farallon" or the\n"Company") (TSX: FAN) announces that it has closed the US$30 million term loan\n(the "Agreement") with Credit Suisse - Zurich of Switzerland ("Credit\nSuisse"), announced on May 7, 2009. The term of the loan is four years and the\nCompany has chosen to fix the interest rate over the four year period.\nProceeds will now be used to refinance imported equipment related to the\nconstruction and commissioning of the 1,500 tpd mine and mill at G-9. The\nequipment was originally financed with Promissory Notes (the "Notes") which\nwere due to mature on September 9, 2009.\n\n\nFarallon has now fulfilled all of its obligations under the Notes and has\ninitiated repayment to Note-holders totalling US$23.6 million. This\neffectively concludes the Company's recent strategy to restructure the balance\nsheet by increasing working capital and replacing current liabilities with\nlong-term debt at significantly reduced interest costs.\n\n\nDick Whittington, President and CEO, said: "I am extremely pleased to\nhave finalized this four-year term loan. We look forward to working with\nCredit Suisse as one of our strategic partners as we seek to grow as a mining\ncompany. Our ultimate goal is to create a low-cost, multi-mine, mid-tier\nmining company with significant exploration upside potential."\n\n\nFarallon's G-9 zinc, copper, silver, gold and lead mine at the Campo\nMorado Property in Mexico reached commercial production in April 2009. The\nCompany expects to produce at an annualized production rate of 120 million\npounds of zinc and 15 million pounds of copper for the remainder of 2009.\n\n\nON BEHALF OF THE BOARD OF DIRECTORS\nJ.R.H. (Dick) Whittington\nPresident & CEO\n\nNo regulatory authority has approved or disapproved the information\ncontained in this news release\n\n\nForward Looking Information\n\n\nThis release includes certain statements that may be deemed\n"forward-looking statements." All statements in this release, other than\nstatements of historical facts, that address future production, reserve or\nresource potential, continuity of mineraliza...