TVI Pacific announces closing of US$29.9 million term loan facility

About this update from Tvi Pacific Inc.

[{"type":"text","content":"\n\n\n\n(TSX: TVI)\n\n\nCALGARY, Feb. 9 /CNW/ - TVI Pacific Inc. (TSX: "TVI" or the "Company")\nannounced today that its Philippine affiliate, TVI Resource Development\n(Phils.), Inc. ("TVIRD"), has closed a previously announced financing\narrangement with LIM Asia Multi-Strategy Fund Inc. and LIM Asia Special\nSituations Master Fund Limited (collectively, the "Lenders"). The Lenders\nhave confirmed to TVIRD that outstanding conditions precedent under the\nJanuary 20, 2009, Omnibus Loan and Security Agreement ("OLSA"), entered into\nbetween the Company, TVIRD, the Lenders and others, have been satisfied and\nthat TVIRD is permitted to convert the bridge facility previously provided by\nthe Lenders into the term facility contemplated by the OLSA and to draw\nadditional funds under the term facility. The OLSA provides for a\nUS$29,926,801 principal amount term loan facility (the "Facility"). Subsequent\nto the signing of the OLSA, an additional US$175,239 in accrued interest was\nadded to the principal amount as a result of a one week extension in the\ncompletion of the conditions precedent. This news release should be read in\nconjunction with the release disseminated by the Company on January 20, 2009,\na copy of which is available at www.tvipacific.com, and the material change\nreport and related documentation filed by the Company with various securities\nregulators in Canada, copies of which are available under the Company's\nprofile on the SEDAR website at www.SEDAR.com.\n\n\nThe purpose of the Facility is to convert the bridge loans of\napproximately $27.1 million, including the additional interest accrued\nsubsequent to the signing of the OLSA, previously made to TVIRD by the Lenders\ninto a term loan and to provide TVIRD with additional investment capital to\nfurther advance commissioning activities and to support mining and processing\nactivities at the Canatuan mine site, located on the Zamboanga Peninsula in\nthe southern Philippines.\n\n\nOn February 6, 2009, in connection with TVIRD's fulfillment of conditions\nprecedent to lending under the OLSA, all outstanding amounts that were payable\nto the Lenders under the previous bridge financing facility have been\nconverted into borrowings under the Facility.\n\n\nThe Term of the Facility is five years from the da...

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