Business
South Star Mining Receives Debt Financing Pre-Approval for C$7.5 million and Environmental License Extension
(TheNewswire) Toronto, ON, - TheNewswire - Oc...
About this update from South Star Battery Metals Corp
[{"type":"text","content":"South Star Mining Receives Debt Financing Pre-Approval for C$7.5 million and Environmental License Extension \n \n \n (TheNewswire)\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n Toronto, ON, -\n \n \n TheNewswire -\n \n \n October 5, 2020 -\n \n \n South Star Mining Corp.\n \n \n (\n \n \n 'South Star\n \n \n '\n \n \n or\n'the Company'\n \n \n ) (TSX-V:\n \n \n STS\n \n \n )\n \n \n (OTC: STSBF)\nis pleased to announce\n \n \n the pre-approval of\nR$29.7 million (approx. C$7.5 million) in debt finance from Banco do\nNordeste ('the Bank'), a leading regional Brazilian development bank,\nas well as the approval of the renewal of the simplified environmental\nlicense for a period of 4 years for the Phase 1 Pilot Plant Operations\n(5,000tpy of concentrate) for the Santa Cruz Graphite Project ('the\nProject') in Bahia, Brazil. The C$7.5m financing comprise 100% of the\nProject debt financing requirements.\n \n \n \n \n The renewed environmental license is in the process of\nbeing submitted to the regulatory agency (ANM) to support the trial\nmining license (GU) and is anticipated to be the final approval\nrequired before a construction decision is made.\n \n \n \n \n South Star CEO Richard\nPearce\n \n \n commented, \"We are extremely excited\nabout the recent developments of the Project and continue the drive\ntowards 2021 production. The renewal of the environmental license for\n4 years was the last hurdle requested for the trial mining license.\nAll the requested Project documents have been submitted to the ANM,\nand we anticipate the approval of the GU shortly. This is the final\nlicense required to start the construction. The pre-approval of 100%\nof the debt financing requirements and the favourable terms reinforce\nthe strength of the Project economics. I would like to thank our\ncurrent shareholders and all the Project stakeholders for their\ncontinued support and look forward to an exciting 2021.\"\n \n \n \n \n DEVELOPMENT BANK\n \n \n DEBT Pre-approval\n \n \n \n \n The Company has received pre-approval for 100% of the\nProject debt financing requirements from Banco do Nordeste, the\nlargest regional development financial institution in Latin America\nresponsible for covering the Project region. The credit committee has\npre-approved the following terms:\n \n \n \n \n \n \n -R$29.7 million (~C$7.5...