TORONTO, July 9, 2012 /CNW/ - Liberty Mines Inc. today announced that it
received approval at its annual meeting of shareholders to consolidate
its credit facilities with Jien International Investment Limited
(JIIL), and extend the terms to a new maturity date of June 30, 2017.
Following shareholder approval and subject to the execution of a new
loan agreement with JIIL in due course, the consolidated credit
facility will have an outstanding principal amount of: (i) $48,914,849
and (ii) US$19,348,828 plus accrued interest to date. The credit
facility bears interest at 10% per annum, which is secured against the
assets of the Company, and no interest will be payable until June 30,
2014. Related to the new maturity date and consolidated terms, JIIL
has also agreed to expand the available credit facility by an
additional $10,000,000 as well as continues to provide an available
facility to address the preferred shares if redeemed prior to June 30,
"Consolidating the credit facilities and extending the terms out five
years was based on Liberty's five year business plan," said Chris
Stewart, President & CEO of Liberty Mines. "This change allows us the
opportunity to ramp up our production in Timmins so that we can
generate some solid financial results to start repaying our debt. With
the continued support of our major shareholder Jilin Jien, we have been
able to execute our turnaround strategy for Liberty Mines and we are
now focused on moving ahead with our plans for the Timmins operations."
At the annual meeting, Liberty shareholders also approved the election
of Mr. Shu Wu, Mr. John Pinsent, Dr. Tao Li, Dr. Shu Zhang, Mr. Kim
Oishi, Mr. Chris Stewart and Mr. James Xiang as directors of the
Company. The directors bring a combination of mining, capital markets
and public company experience.
Liberty shareholders also approved the nomination of BDO Dunwoody as the
auditors for the Company.
Liberty has filed the full voting results of its annual meeting on
About Liberty Mines Inc.
Liberty Mines Inc. is a mid-tier producer of nickel and is focused on
the exploration, development and production of nickel, copper, cobalt
and platinum group metals from its properties in Ontario, Canada. It
owns and operates the only nickel concentrator in the Shaw Dome, a
prospective nickel belt region near Timmins, Ontario. With a new
management team in place, Liberty is focused on growth initiatives not
only through a more aggressive exploration program on its current
properties but also through potential acquisition or partnership
opportunities beyond its core Timmins area projects.
SOURCE Liberty Mines Inc.
For further information:
Chris Stewart, President & CEO
416 815 0700 ext. 243