FREE MEMBERSHIP Includes » ABL Advisor eNews + iData Blasts | JOIN NOW ABLAdvisor Gray ABLAdvisor Blue
Skip Navigation LinksHome / Press Releases / Read Press Release


SilverCrest Arranges $40MM Facility With Scotiabank

July 15, 2013, 07:09 AM
Filed Under: Metals and Mining

SilverCrest Mines has entered into a three year US$40 million secured corporate credit facility with The Bank of Nova Scotia (Scotiabank). The credit limit available under the facility will reduce by U.S.$10 million on each of Jul. 11, 2014 and Jul. 11, 2015, and will mature on Jul. 11, 2016, subject to a one year extension of these dates by mutual agreement. The facility is to be used for general corporate purposes and to complete the Santa Elena Mine Expansion, which will release operational cash flow for other corporate purposes.

The expansion at Santa Elena includes development of the underground mine and a new 3,000 tonnes per day processing plant. The facility is principally secured by a pledge of the company's equity interests in its material subsidiaries, including Nusantara de Mexico S.A. de C.V., and SilverCrest de Mexico S.A. de C.V., and their assets. Depending on the company's total indebtedness to EBITDA ratio, the interest rate margin on the facility will, at the company's election, range from either 3.00% to 4.25% over LIBOR, or 2.00% to 3.25% over Scotiabank's Base Rate in Canada. The availability of the Facility is subject to customary conditions precedent and qualitative and quantitative covenants and the release of existing security held by Macquarie Bank Limited. Until all security for the facility has been registered in Mexico, the amount available under the facility will be limited to U.S.$15 million.

SilverCrest Minesis a Canadian precious metals producer headquartered in Vancouver, BC. SilverCrest's flagship property is the 100%-owned Santa Elena Mine, located 150 km northeast of Hermosillo, near Banamichi in the State of Sonora, Mexico.

Comments From Our Members

You must be an ABL Advisor member to post comments. Login or Join Now.