Wesdome Gold Mines has entered into a commitment letter with National Bank Financial providing for a three-year $40 million senior secured revolving credit facility
National Bank of Canada has committed to provide up to $30 million of the NBF facility, subject to the receipt by NBF of firm commitments for at least $10 million from one or more other financial institutions. The NBF facility will be secured by all of the Company’s present and future real and personal property.
The NBF facility shall be used for general corporate and working capital purposes, including to repay all amounts owing under the company’s existing $36 million credit facility, under which approximately $5.8 million is currently outstanding under its equipment leasing and commercial card facilities. Closing of the NBF Facility is expected to occur in the third quarter of 2019 and is subject to the satisfaction of customary conditions, including the entering into of definitive documents.
“We are very pleased to enter into a long-term business and credit relationship with National Bank, a leading financial institution in Canada. The revolving credit facility will provide Wesdome with additional liquidity and increase its financial strength and flexibility,” said Duncan Middlemiss, president and CEO.
Wesdome Gold Mines has had over 30 years of continuous gold mining operations in Canada.
