Treasury Metals Completes Convertible Debenture Extension
Treasury Metals Completes Convertible Debenture Extension
TSX: TML
TORONTO
,
June 8, 2017
/CNW/ -
Treasury Metals Inc.
(
"Treasury"
or the
"Company"
) is pleased to announce that, further to its press
release dated
May 8, 2017
, the Company and its lenders, Extract Advisors LLC (
"Extract"
) and Loinette Company Leasing Ltd. (
"Loinette"
and together with Extract, the
"Lenders"
), have completed an amendment (the "
Loan Extension
") to the existing
US$4.4 million
convertible
term loan which is comprised of two tranches (the
"Term Loan"
). The Loan Extension amended, among other terms, the maturity date of the
Term Loan, extending it to
April 2, 2019
, from
September 20, 2017
.
Pursuant to the terms of the Loan Extension,
US$2.2 million
of the Term Loan has been amended to be convertible at the election of the Lenders
into common shares in the capital of the Company (the
"Common Shares"
) at a conversion price fixed at
C$0.90
per Common Share,
representing approximately a 37.5% premium to the closing price of the Common Shares on
May 5, 2017
prior to entering into the binding term
sheet (
"Tranche 1"
).
The remaining principal amount of
US$2.2 million
of the Term Loan is unchanged and continues to be convertible into Common Shares at a price
equal to
C$0.588
per Common Share and will have no further amendments ("
Tranche 2
"). The Loan Extension has been superseded with a
definitive agreement entered into by the Company and the Lender on
June 7, 2017
. Further details related to the Term Loan Extension were
provided in a press release issued by the Company on
May 8, 2017
.
Chris Stewart
, President and Chief Executive Officer, commented, "We are pleased with the ongoing progress being made at Treasury, including
the recent completion of an
$8 million
equity offering and the continued support from our convertible debenture lenders, Extract and Loinette. We
are now in the process of restarting drilling on site to complete the remainder of the condemnation drilling program after which we will look to start
additional infill drilling as part of the larger 30,000 metre planned Phase II drill program. We remain focused on advancing the Goliath Project
towards a construction decision in H2 of 2018."
To view further details about the Company and Goliath Gold Project, please visit the Company's website at
www.treasurymetals.com
.
About Treasury Metals Inc.:
Treasury Metals Inc. is a gold focused exploration and development company with assets in
Ontario, Canada
and is listed on the Toronto Stock
Exchange ("TSX") under the symbol "TML". Treasury Metals Inc.'s 100% owned Goliath Gold Project in northwestern
Ontario
is slated to
become one of
Canada's
next producing gold mines. With first-rate infrastructure currently in place and gold mineralization extending to surface,
Treasury Metals plans on the initial development of an open pit gold mine to feed a 2,500 per day processing plant with subsequent underground
operations in the latter years of the mine life. Treasury Metals is currently in the mine permit process on the Goliath Gold Project.
Follow us on Twitter @TreasuryMetals
Forward-looking Statements
This release includes certain statements that may be deemed to be "forward-looking statements". All statements in this release, other than
statements of historical facts, that address events or developments that management of the Company expect, are forward-looking statements.
Actual results or developments may differ materially from those in forward-looking statements. Treasury Metals disclaims any intention or
obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, save and except
as may be required by applicable securities laws.
SOURCE
Treasury Metals Inc.
View original content: http://www.newswire.ca/en/releases/archive/June2017/08/c1726.html
%SEDAR: 00027114E
For further information:
Chris Stewart, President and Chief Executive Officer, T: 1.416.214.4654, [email protected]; Greg Ferron,
Vice President, Corporate Development, T: 1.416.214.4654, [email protected]
CO: Treasury Metals Inc.
CNW 07:30e 08-JUN-17