Exall Resources raises financing

In northeastern Ontario, development work continues on schedule at the Hislop Twp. gold project of Exall Resources (EXL-T) and Glimmer Resources (GME-V).

The former has reached an agreement in principle with Standard Bank of London for a $5-million gold loan. The loan and hedging facility, still subject to the bank’s due-diligence investigations, will provide funds over an 8-month period. It can be repaid over the remainder of the 30-month term.

Glimmer, which was unable to fund its 40% share of development expenses in August and September, has allowed

its interest to be diluted to 33%. Glimmer requires $352,000 for its October payment and estimates it will need just over $1 million before the project begins to generate cash flow, in December. It continues to search for funding for its reduced share of the program.

If Glimmer’s interest falls below 15%, Exall can trade a 3% net smelter return for the working interest, or buy out Glimmer for $1.5 million.

Print

Be the first to comment on "Exall Resources raises financing"

Leave a comment

Your email address will not be published.


*


By continuing to browse you agree to our use of cookies. To learn more, click more information

Dear user, please be aware that we use cookies to help users navigate our website content and to help us understand how we can improve the user experience. If you have ideas for how we can improve our services, we’d love to hear from you. Click here to email us. By continuing to browse you agree to our use of cookies. Please see our Privacy & Cookie Usage Policy to learn more.

Close