Filo Mining Corp. Announces Increase and Extension of Credit Facility
January 14, 2019 at 12:00 am
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Filo Mining Corp. announced that effective as of January 12, 2019, the Company has entered into a USD 5,000,000 credit facility, which will be evidenced by a debenture, to provide additional financial flexibility to fund the Company's ongoing work programs and provide general working capital. The Facility has a term of 18 months ending July 12, 2020. No interest is payable during the term of the Debenture, however, any amount of the 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 Facility has been issued by Zebra Holdings and Investments S.r.l., a company controlled by a trust settled by the late Adolf H. Lundin, and an insider of the Company. The terms of the Facility include the Company issuing to the Lender, 300 Common Shares per month for each USD 50,000 of the Facility outstanding from time to time up to the Maturity Date. All securities issued in conjunction with the Facility will be subject to a four-month hold period under applicable securities law. The Facility replaces a previous USD 2,000,000 credit facility provided by the Lender, and which matured on January 12, 2019. The outstanding balance owing to the Lender under the previous facility, as of the maturity date, has been transferred and forms part of the amount owing under the new Facility.
Filo Corp., formerly Filo Mining Corp., is a Canada-based mineral exploration and development company. The Company is focused on its 100%-controlled Filo del Sol project (Filo del Sol or the Filo del Sol Project), which is comprised of two adjacent land holdings: the Filo del Sol property located in San Juan Province, Argentina, and the Tamberias property, located in Region III, Chile. The Filo del Sol Project is located between the Maricunga and El Indio gold belts, two mineralized trends that contain such deposits as Caspiche, La Coipa, Veladero, and El Indio. The Filo del Sol Project is located in the Atacama Region of Northern Chile and adjacent San Juan province of Argentina. The Filo del Sol Project is a high-sulphidation epithermal copper-gold silver system associated with a porphyry copper-gold system. The Filo del Sol Project is approximately 140 kilometers (km) southeast of the city of Copiapo, Chile and straddles the border between Argentina and Chile.