Zincore Negotiates Payables Agreements to Reduce Working Capital Deficit
Vancouver, British Columbia (FSCwire) - Zincore Metals Inc. (NEX: ZNC.H) (“Zincore” or the “Company”) reports that the Company and its Peruvian subsidiary, Exploraciones Collasuyo S.A.C., (“Collasuyo”) have entered into agreements (the “Creditor Agreements”) with the Company’s CEO to turn current amounts owing and other payables into long term debt obligations.
Adam Ho, CFO, commented, “By restructuring these amounts as long term obligations, we will reduce our working capital deficit. We believe that this will help us move closer to meeting the listing requirements to move from the NEX Exchange to the TSX-V”.
Mr. Ho further commented “We have made tremendous progress during 2017 in restructuring our debts through negotiated settlements, shares for debt agreements and now these long-term Creditor Agreements. We hope that this progress will be noted by investors, especially given the current market interest in zinc companies and our belief in strong fundamentals for the underlying zinc market over the next few years”.
The total amount of debt that is subject to these Creditor Agreements is US$272,125.29 in amounts owing to the Company’s President, CEO and Director of the Company, Jorge Benavides, for loans provided to the Company and outstanding fees.
According to the Creditor Agreements, the new long term obligations (the “Obligations”) will mature and become due and payable 20-months after Zincore completes a financing for a minimum of C$600,000. The Obligations will be subject to interest rates of 12-month LIBOR, with the principal and applicable interest due at maturity. The Obligations will be guaranteed by Zincore. In the event that the Company is unable to pay the Obligations when they are due, they will be subject to an additional 2% annualized penalty.
About Zincore
Zincore is a Vancouver-based mineral exploration company focused on zinc and related base metal opportunities in Peru. The Company’s common shares trade on the NEX Board of the TSX Venture Exchange under the symbol ZNC.H. For more information, please see our website at www.zincoremetals.com
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
For more information please contact:
Zincore Metals Inc.
Adam Ho, CFO
(604) 669-6611
Cautionary Note Regarding Forward Looking Statements
This news release contains certain forward-looking statements, Any statements that express or involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions or future events or performance (often, but not always, using words or phrases such as “expects” or does not expect”, “is expected”, anticipates” or “does not anticipate” “plans”, “estimates” or “intends” or stating that certain actions, events or results “ may”, “could”, “would”, “might” or “will” be taken, occur or be achieved) are not statements of historical fact and may be “forward-looking statements”. Forward-looking statements are subject to a variety of risks and uncertainties which could cause actual events or results to materially differ from those reflected in the forward-looking statements.
To view this press release as a PDF file, click onto the following link:
public://news_release_pdf/Zincore12142017_0.pdf
Source: Zincore Metals Inc. (TSX Venture:ZNC.H, OTC Bulletin Board:ZCRMF)
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