Serabi Gold plc Serabi Gold Plc: Extension Of Loan Term With Sprott Resource Lending Partnership
September 17 2018 - 2:00AM
UK Regulatory
TIDMSRB
For immediate release
17 September 2018
Serabi Gold plc
("Serabi" or the "Company")
Extension of loan term with Sprott Resource Lending Partnership
("Sprott")
Serabi Gold plc (AIM:SRB, TSX:SBI), the Brazilian-focused gold mining
and development company, is pleased to announce that the Company has
agreed an extension to the repayment terms for a US$3 million secured
loan (the "Loan") with its existing lender, Sprott, that was taken out
in January 2018.
Serabi and Sprott have agreed to extend the repayment terms of the Loan
which will now have a maturity date of 30 June 2020 and will be repaid
in 22 monthly instalments commencing on 30 September 2018. The Loan
originally had a maturity date of 30 September 2018.
Commenting on the announcement, Mike Hodgson, CEO of Serabi, said
"The issue of the trial mining licences for the Coringa project which we
announced during August (see news release of 20 August 2018) has
provided the Company with the opportunity to access and evaluate parts
of the Serra orebody from underground earlier than we had originally
anticipated. This will provide a better understanding of the orebody
which will be hugely beneficial in the mine planning and design. It
means, however, that we will be incurring development costs earlier than
we originally anticipated so extending the term of the US$3 million Loan
provides the Company with the flexibility to fund this additional work."
In consideration for granting the extension, Serabi has agreed to issue
to Sprott, 145,479 new ordinary shares of 10 pence each ("Ordinary
Shares") at a price of 47.25 pence per share (representing a 10%
discount to the closing price on 14 September 2018), equivalent to
US$90,000. The new Ordinary Shares will rank pari passu with the
existing Ordinary Shares in issue. Application has been made for the
new Ordinary Shares to be admitted to trading on AIM on or around 21
September 2018, and to be listed on the TSX.
Total Voting Rights
Following Admission, the Company's issued share capital will consist of
58,909,551 Ordinary Shares with voting rights. The Company does not hold
any Ordinary Shares in Treasury. Therefore, the total number of Ordinary
Shares in the Company with voting rights is 58,909,551.
The above figure of 58,909,551 Ordinary Shares may be used by
shareholders in the Company as the denominator for the calculations by
which they will determine if they are required to notify their interest
in, or a change to their interest in, the share capital of the Company
under the Financial Conduct Authority's Disclosure Guidance and
Transparency Rules.
This announcement is inside information for the purposes of Article 7 of
Regulation 596/2014.
The person who arranged for the release of this announcement on behalf
of the Company was Clive Line, Director.
Enquiries:
Serabi Gold plc
Michael Hodgson Tel: +44 (0)20 7246 6830
Chief Executive Mobile: +44 (0)7799 473621
Clive Line Tel: +44 (0)20 7246 6830
Finance Director Mobile: +44 (0)7710 151692
Email: contact@serabigold.com
-----------------------------
Website: www.serabigold.com
-----------------------------
Beaumont Cornish Limited
Nominated Adviser and
Financial Adviser
Roland Cornish Tel: +44 (0)20 7628 3396
Michael Cornish Tel: +44 (0)20 7628 3396
Peel Hunt LLP
UK Broker
Ross Allister Tel: +44 (0)20 7418 8900
James Bavister Tel: +44 (0)20 7418 8900
Blytheweigh
Public Relations
Tim Blythe Tel: +44 (0)20 7138 3204
Camilla Horsfall Tel: +44 (0)20 7138 3224
Copies of this announcement are available from the Company's website at
www.serabigold.com.
Neither the Toronto Stock Exchange, nor any other securities regulatory
authority, has approved or disapproved of the contents of this
announcement.
Qualified Persons Statement
The scientific and technical information contained within this
announcement has been reviewed and approved by Michael Hodgson, a
Director of the Company. Mr Hodgson is an Economic Geologist by training
with over 26 years' experience in the mining industry. He holds a BSc
(Hons) Geology, University of London, a MSc Mining Geology, University
of Leicester and is a Fellow of the Institute of Materials, Minerals and
Mining and a Chartered Engineer of the Engineering Council of UK,
recognising him as both a Qualified Person for the purposes of Canadian
National Instrument 43-101 and by the AIM Guidance Note on Mining and
Oil & Gas Companies dated June 2009.
Forward Looking Statements
Certain statements in this announcement are, or may be deemed to be,
forward looking statements. Forward looking statements are identi ed by
their use of terms and phrases such as "believe", "could", "should"
"envisage", "estimate", "intend", "may", "plan", "will" or
the negative of those, variations or comparable expressions, including
references to assumptions. These forward looking statements are not
based on historical facts but rather on the Directors' current
expectations and assumptions regarding the Company's future growth,
results of operations, performance, future capital and other
expenditures (including the amount, nature and sources of funding
thereof), competitive advantages, business prospects and opportunities.
Such forward looking statements re ect the Directors' current beliefs
and assumptions and are based on information currently available to the
Directors. A number of factors could cause actual results to differ
materially from the results discussed in the forward looking statements
including risks associated with vulnerability to general economic and
business conditions, competition, environmental and other regulatory
changes, actions by governmental authorities, the availability of
capital markets, reliance on key personnel, uninsured and underinsured
losses and other factors, many of which are beyond the control of the
Company. Although any forward looking statements contained in this
announcement are based upon what the Directors believe to be reasonable
assumptions, the Company cannot assure investors that actual results
will be consistent with such forward looking statements.
ENDS
(END) Dow Jones Newswires
September 17, 2018 02:00 ET (06:00 GMT)
Copyright (c) 2018 Dow Jones & Company, Inc.
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