Business
Monument Amends Selinsing Gold Project Construction Plan Due to Receipt of Cancellation of $10.0 M Credit Facility from Lenders
Monument Amends Selinsing Gold Project Construction Plan Due to Receipt of Cancellation of $10.0 ...
About this update from Monument Mining Limited
[{"type":"text","content":"Monument Amends Selinsing Gold Project Construction Plan Due to Receipt of Cancellation of $10.0 M Credit Facility from Lenders\n\n\n\nMonument Amends Selinsing Gold Project Construction Plan Due to Receipt of Cancellation of $10.0 M Credit Facility from Lenders \n\nVancouver, British Columbia CANADA, December 24, 2008 /FSC/ - Monument Mining Ltd. (MMY - TSX Venture, D7Q1 - FWB), (\"Monument\" or the \"Company\") announces that the Company is presently reviewing an Amended Construction Plan for its 1200 tpd gold treatment plant at the Selinsing property in Malaysia without requiring further financing. The changes to the construction plan are due to receipt of cancellation of a previously announced $10.0 million credit facility. \n\nOn July 22, 2008, the Company announced that it closed a private placement of $28.1 M and had entered into a Convertible Debenture credit facility of $10.0 M with Quasiinfinity Limited and Madrague Equities Corp. (collectively referred to as the \"Lenders\") for an aggregate $38.1 M. Upon the drawdown of the credit facility, the Company would be fully funded to complete construction of its 100% owned Malaysian gold mine project located in Pahang State, Malaysia.\n\nThe Company served a Drawdown Notice (the \"Notice\") to the Lenders after complying with all of the terms of the Convertible Debenture. The Notice required the Lenders to provide the $10.0 M on or by the 12 December 2008. Monument has received a letter from the Lenders advising that due to market conditions and the global credit melt down the Lenders would be unable to provide the funding on the agreed terms at this time.\n\nThe Company has been proactively considering its options in this market and is well advanced with detailed plans to proceed with the development of its fully owned Selinsing Gold Project in the event of no further financing being available. The proposed Amended Construction Plan has no major deviation from the original construction plan; however it breaks the construction of the 1200 tpd Gold Treatment Plant into two stages: A gravity circuit and the carbon in leach (\"CIL\") circuit. The gravity circuit, estimated to cost approximately $10.2 M, will be constructed and commissioned to full operation ahead of proceeding to complete ...