Nora settles with Hartor

A dispute between Montreal-based Nora Exploration (NXI-M) and Hartor Investments has been settled out of court.

Hartor was suing Nora to force the company to repay two outstanding loans totalling $1.7 million. The lawsuit related to a dispute about the terms and conditions of a loan agreement.

Under the deal, Nora will pay Hartor $580,000 in cash for a US$400,000 loan received in 1997. Nora’s attorneys have held the repayment funds in escrow since September 1999.

A second loan, of US$744,800, will be converted into a cash payment of $50,000 and three non-interest-bearing convertible promissory notes of $282,000 each.

Chris von Christierson, Nora’s chairman, says the settlement “removes the last obstacle impeding development of the company’s potential.” Nora holds several diamond concessions off the coast of Namibia.