Business
Orvana Receives $7.5 Million Additional Cash Payment for Copperwood - Outstanding Short Term Loan Facility Not to be Renewed
TSX:ORV Dollar amounts are in U.S. dollars unless stated otherwise. Cash position...
About this update from Orvana Minerals Corp.
[{"type":"text","content":"\n\nTSX:ORV\n\nDollar amounts are in U.S. dollars unless stated otherwise.\n\n\nCash position now $15.9 million \nTotal Debt Position $5.4 million\n\n\nTORONTO, Dec. 16, 2014 /CNW/- Orvana Minerals Corp. (TSX:ORV) (the \"Company\" or \"Orvana\"), announced today that it has received the additional $7.5 million cash payment, which includes interest of $0.5 million, from Highland Copper Company Inc. (\"Highland\") relating to the sale of the Copperwood Project (\"Copperwood\") located in Michigan, U.S.A. \n\nThe base purchase price for Copperwood was $20 million. On closing of the sale to Highland on June 17, 2014, Orvana received a cash payment of $13.0 million and a secured promissory note in the amount of $7.0 million plus interest fully repayable no later than December 15, 2014. \n\nAs previously disclosed, an additional consideration of up to $5.0 million may be paid by Highland in cash or shares of Highland, at Orvana's option, with $2.5 million payable no later than the fourth anniversary of the closing and $2.5 million payable following commercial production if the copper price reaches certain thresholds. \n\nFurthermore, Orvana announced today that the availability period for its $6.5 million short-term loan facility from Fabulosa Mines Limited ended on December 15, 2014.  The Company has not renewed the facility and has started the process to release the associated security.\n\nWith the final base purchase price payment from the Copperwood sale received, Orvana's current cash position is $15.9 million and its total debt stands at an estimated $5.4 million.  The outstanding loans represent various short-term facilities associated with the Don Mario Mine in Bolivia.\n\nAbout Orvana\n\nOrvana Minerals is a multi-mine gold and copper producer. Orvana's operating assets consist of the producing EVBC gold-copper mines in northern Spain and the producing gold-copper-silver Don Mario Mine in Bolivia. Additional information is available at Orvana's website (www.orvana.com).\n\nForward Looking Disclaimer \n\nCertain statements in this press release constitute forward-looking statements or forward-looking information within the meaning of applicable securities laws (\"forward-looking statements\"). Any statements that express or involve discussions with respect to predictions, expectations, beliefs, plans, projection...