Sprott Resource Lending Amends Timmins Gold Facility
Timmins Gold announced it amended its C$18 million ($16.2 million) credit agreement with Sprott Resource Lending Partnership.
The amended credit agreement has a term of 12 months from January 1, 2014. Interest is payable in monthly installments at the rate of 9% per annum. Payment of the principal amount outstanding will be made prior to or at the end of the term.
In consideration of the extension, 300,000 common shares of the company at a deemed price of $1.20 per share were issued to the lender, representing 2% of the principal amount of the loan. The bonus shares are subject to a four months and one day hold period expiring May 25, 2014.
Vancouver, BC, Canada-based Timmins Gold Facility is a gold production and development company.