Loryser Reaches Agreement with Creditors in Uruguay
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Loryser Reaches Agreement with Creditors in Uruguay
Montevideo, Uruguay, December 18, 2018. Orosur Mining Inc. (“Orosur” or the “Company”) (TSX: OMI)
(AIM: OMI) announces that its wholly-owned Uruguayan subsidiary, Loryser S.A. (“Loryser”), has reached
a payment plan agreement with creditors in Uruguay (the “Agreement”).
Loryser has been working diligently to reach a fair and balanced solution in Uruguay in the interests of all
its stakeholders. In parallel with ongoing discussions with third parties, Loryser has negotiated and reached
an Agreement with the majority of its creditors.
The Agreement contemplates that net proceeds from the sale of Loryser’s assets in Uruguay together with
the issuance of 10 million common shares of Orosur shall fully satisfy all amounts owing to Loryser’s
creditors as well as provide funds for Loryser to conduct this process and close operation responsibly. As
contemplated by the Agreement, Loryser would manage the process,, to be completed within two years.
The issuance of common shares of Orosur is subject to approval of the Toronto Stock Exchange.
Loryser contacted over 90% of the creditors by value, distributed the Agreement and was successful in
obtaining execution of the Agreement by the majority of its creditors. To date, approximately 68% of the
creditors by value have executed the Agreement. Loryser may continue to receive executed Agreements
from additional creditors. The support level is already above the required simple majority, being 50% of
creditors by value, required to proceed. As such, on December 17, 2018 Loryser submitted the Agreement
to the Court and the Court cancelled the meeting of creditors.
The Agreement is now subject to consideration by the Court and the Intervenor, and normal procedures
for approval, like public notice, which the Company expects to conclude in the first half of 2019. Once
approved by the Court, the Agreement will be legally binding for all the creditors and Loryser’s creditor
protection status will cease together with Intervenor´s control over the Company.
About Orosur Mining Inc.
Orosur Mining Inc. (TSX: OMI; AIM: OMI) is a precious metals developer and explorer focused on
identifying and advancing gold projects in South America. The Company operates in Colombia and
Uruguay.
Forward Looking Statements
All statements, other than statements of historical fact, contained in this news release constitute "forward -
looking statements" within the meaning of applicable securities laws, including but not limited to the "safe
harbour" provisions of the United States Private Securities Litigation Reform Act of 1995 and are based on
expectations estimates and projections as of the date of this news release. Forward -looking statements
include, without limitation, the approval by the Court of the Agreement, expectations that the Agreement
will become legally binding on all creditors of Loryser and successful emergence from creditor protection
proceedings and Intervenor control. There can be no assurance that such statements will prove to be
accurate. Actual results and future events could di ffer materially from those anticipated in such forward
looking statements. These material uncertainties may cast significant doubt upon the Company’s ability to
realize its assets and discharge its liabilities. Although the Company has been successful in t he past in
obtaining financing there is no assurance that it will be able to obtain adequate financing in future or that
such financing will be on terms advantageous to the Company. The Company disclaims any intention or
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obligation to update or revise any forward-looking statements whether as a result of new information, future
events and such forward-looking statements, except to the extent required by applicable law.
For further information, please contact:
Orosur Mining Inc
Ignacio Salazar, Chief Executive Officer
Ryan Cohen, VP Corporate Development & Interim CFO
Tel: +1 (778) 373-0100
Cantor Fitzgerald Europe – Nomad & Joint Broker
David Porter/Keith Dowsing
Tel: +44 (0) 20 7894 7000
Numis Securities Limited – Joint Broker
John Prior / James Black / Paul Gillam
Tel: +44 (0) 20 7260 1000
The information contained within this announcement is deemed by the Company to constitute inside information as
stipulated under the Market Abuse Regulation ("MAR"). Upon the publication of this announcement via Regulatory
Information Service, this inside information is now considered to be in the public domain . If you have any queries on
this, then please contact Ryan Cohen, VP Corporate Development and Interim CFO of the Company (responsible for
arranging release of this announcement on behalf of the Company) on: +1 (778) 373-0100.