Meridian Mining Receives New Loan Agreement and Executive Departure
Meridian Mining Receives New Loan
Agreement and Executive Departure
LONDON
,
Aug. 20, 2018
/CNW/ - Meridian Mining SE (TSXV: MNO) ("Meridian" or the "Company")
today announced that that on
August 17, 2018
it entered into a new loan agreement with Sentient
Global Resources Funds IV LP ("Lender") pursuant to which the Lender made available to the
Company a credit facility of
USD 1,500,000
to fund the Company's manganese operations in
Brazil
and general working capital. The loan bears interest at a rate of 10% per annum and matures on
September 30, 2019
.
The proceeds from the Amendment will be used for:
Purchasing or leasing of additional pre-screening equipment and ancillary equipment;
Due diligence on new prospects outside of the Company's current tenements; and
General working capital.
Mr. Clark, Interim CEO & President, states that "By working with the Espigão mining and processing
teams, we have identified significant cost reductions associated with the production of the
Manganese concentrate. The pre-screening of the mined material prior to hauling to the processing
plants, removes 75% of the gangue material while minimizing manganese loss. The residual ~25%
volume is then processed at the plants and produces an equivalent volume of Mn concentrate.
The Company is also evaluating the opportunity of adding Mn prospects to its current portfolio of
properties.
The Company also announces that Mr.
Carlos Braga
will depart from the Company on
September
30th, 2018
. Mr. Braga has also resigned as COO. The Company thanks Mr. Braga for his years of
service with Meridian and wishes him best in the future.
The loan constitutes a "related party transaction" for purposes of Multilateral Instrument 61-101 –
Protection of Minority Security Holders in Special Transactions ("MI 61-101"). The transaction is
exempt from the valuation and minority approval requirements of MI 61-101 in accordance with
sections 5.5(a) and 5.7(a), respectively, by virtue of the fact that the value of the loan is less than
25% of the Company's market capitalization.
On behalf of the Board of Directors
of Meridian Mining SE
Gilbert Clark
Interim CEO, President and Director
ABOUT MERIDIAN
Meridian Mining SE is focused on the acquisition, exploration, development and mining activities in
Brazil. The Company is currently focused on exploring and developing the Espigão manganese and
gold projects, the Bom Futuro tin JV area, and adjacent areas in the state of Rondônia. Meridian is
currently producing high grade manganese at its project located at Espigão do Oeste.
Further information can be found at
www.meridianmining.co
.
FORWARD-LOOKING STATEMENTS
Some statements in this news release contain forward-looking information or forward-looking
statements for the purposes of applicable securities laws. These statements include, among others,
statements with respect to the Company's plans for exploration and development of its properties
and potential mineralization. These statements address future events and conditions and, as such,
involve known and unknown risks, uncertainties and other factors, which may cause the actual
results, performance or achievements to be materially different from any future results, performance
or achievements expressed or implied by the statements. Such risk factors include, among others,
failure to obtain regulatory approvals, failure to complete anticipated transactions, the timing and
success of future exploration and development activities, exploration and development risks, title
matters, inability to obtain any required third party consents, operating hazards, metal prices,
political and economic factors, competitive factors, general economic conditions, relationships with
strategic partners, governmental regulation and supervision, seasonality, technological change,
industry practices and one-time events. In making the forward-looking statements, the Company
has applied several material assumptions including, but not limited to, the assumptions that: (1) the
proposed exploration and development of mineral projects will proceed as planned; (2) market
fundamentals will result in sustained metals and minerals prices and (3) any additional financing
needed will be available on reasonable terms. The Company expressly disclaims any intention or
obligation to update or revise any forward-looking statements whether as a result of new
information, future events or otherwise except as otherwise required by applicable securities
legislation.
The Company cautions that it has not completed any feasibility studies on any of its mineral
properties, and no mineral reserve estimate has been established. In particular, because the
Company's production decision relating to Meridian Mineraçao Jaburi S.A, manganese project is not
based upon a feasibility study of mineral reserves, the economic and technical viability of the
Espigão manganese project has not been established.
The TSX Venture Exchange has neither approved nor disapproved the contents of this news release.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the
policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this
release.
SOURCE
Meridian Mining S.E.
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For further information:
please visit the Company's website at www.meridianmining.co or contact:
Jonathan Richards, +1-604-681-0405, [email protected]
CO: Meridian Mining S.E.
CNW 15:23e 20-AUG-18