Northern Vertex Mining signed an engagement letter with indicative terms for Macquarie Bank to provide project finance facilities of up to $20 million as well as a $6.5 million equipment finance facility.

The funds from the project finance facilities will be to be used to fund the majority of the projected development costs of the company’s 70% beneficially owned Moss Gold-Silver Project in northwest Arizona.

The Macquarie facility and the equipment facility are complementary and together provide up to $26.5 million towards the estimated pre-production capital of $33.0 million required to construct the planned 5,000 tonnes per day, open pit, heap leach, gold-silver mine at the company’s Moss Mine site.

“We are delighted to partner with Macquarie to develop the Moss Gold-Silver Project,” said Dick Whittington, president and CEO of Northern Vertex. “I would like to thank the Macquarie teams, both Vancouver and Australia, for their efforts over the last few months and for their insightful reviews that have enabled these creative and responsive project facilities to be developed. The Macquarie Facility and the Equipment Finance Facility, once finalized, will put us well on our way to getting the Moss Project fully financed and built for the benefit of shareholders of both Northern Vertex and Patriot, as well as our host communities in Arizona.”

The Macquarie Facility term sheet sets out detailed indicative terms and conditions, including a bridge loan of up to $7.5 million and a refinancing and development facility of up to $20 million.