Filo Mining has entered into a new $4 million facility to provide additional financial flexibility to fund the company’s ongoing work programs and provide general working capital.
The new facility has a term of 12 months ending April 26, 2020. No interest is payable during the term of the new debenture, however, any amount of the new facility remaining unpaid and outstanding on or after the maturity date shall bear interest at a rate of 5.00% per annum until repaid in full.
The new facility has been issued by Zebra Holdings and Investments, a company controlled by a trust settled by the late Adolf H. Lundin, and an insider of the company. The terms of the new facility include the company issuing to the lender, subject to approval of the TSX Venture Exchange, an aggregate of 6,000 common shares of Filo and an additional 300 common shares per month for each $50,000 of the new facility outstanding from time to time up to the maturity date. All securities issued in conjunction with the new facility will be subject to a four-month hold period under applicable securities law.
The new facility supplements existing credit facilities provided by the lender, totaling $10 million which are evidenced by a $5 million debenture dated January 12, 2019, which matures on July 12, 2020, and a second $5 million debenture dated February 28, 2019, which matures on February 28, 2020.
Filo Mining is a Canadian exploration and development company focused on advancing its 100% owned Filo del Sol copper-gold-silver deposit located in Chile’s Region III and adjacent San Juan Province, Argentina.
