Business
TVI's Philippine Affiliate JV Receives Letter of Advice from Chinabank for $8 Million Loan for the Agata Project
TSX : TVI OTCQX : TVIPF CALGARY , Nov. 20, 2014 /CNW/ - TVI Pacific Inc. (TSX...
About this update from Tvi Pacific Inc.
[{"type":"text","content":"\n\nTSX: TVI OTCQX: TVIPF\n\n\n\nCALGARY, Nov. 20, 2014 /CNW/ - TVI Pacific Inc. (TSX:TVI) (OTCQX:TVIPF) (\"TVI\" or \"the Company\") and TVI's Philippine affiliate, TVI Resource Development (Phils.), Inc. (\"TVIRD\") are pleased to announce that Agata Mining Ventures Inc. (\"AMVI\"), a joint venture company in which TVIRD holds a 60% interest and is the operator, has received a Letter of Advice from China Banking Corporation (\"Chinabank\" or the \"Lender\") granting an US$8 million term loan facility (the \"Facility\") to support AMVI's high iron/low nickel direct shipping ore (\"DSO\") operations and exploration work at the Agata project located in northern Mindanao, the Philippines.  \n\n\"We are very pleased that AMVI has been offered such substantial funding, particularly given the current state of the commodities sector, to ensure the successful ramp up of production and continued resource updates at the Agata project,\" stated Mr. Clifford M. James, Chairman and CEO of TVI and Chairman of TVIRD.  \"This development serves to further support TVIRD's goal of listing on the Philippine Stock Exchange – the achievement of which could substantially enhance its value for TVI shareholders.\"\n\nIn addition to being granted the US$8 million Facility by Chinabank, AMVI has now received advances totaling US$3 million from Tewoo Hoperay (Singapore) Pte. Ltd, a subsidiary of Tianjjn Hoperay Mineral Limited Company, a major Chinese State Owned Enterprise, as part of offtake agreements signed in June and August 2014 to sell a total of 1.5 million wet metric tonnes of high iron/low nickel DSO.  This brings the total amount of funding that AMVI is able to secure for the project to US$11 million.  AMVI expects to be able to arrange similar commitments for additional funds in the future if necessary.\n\nIf AMVI draws upon the Facility, it will use the funds to ramp up operations at the Agata DSO project, to fund detailed exploration programs and resource updates at the Agata nickel laterite and limestone projects, and for general working purposes.  Details of these programs will be announced in the upcoming weeks. \n\nTerms of the Loan Facility\n\nPer the Chinabank Letter of Advice, the term of the Facility is three years and provides for a six-month grace period before repayments of the principal amoun...