PERTH, Australia, Aug. 27, 2018 /CNW/ - LeadFX Inc. (the "Company" or "LeadFX") (TSX: LFX) announces it has secured US$3 million in funding under its existing credit facility ("Sentient Credit Facility") with its major shareholder Sentient Global Resources Fund IV LP ("Sentient").
The Company has negotiated an amendment ("Amendment") with Sentient to the Sentient Credit Facility whereby Sentient will make a US$3 million advance to fund the Company's engineering, metallurgical and project development activities at the Paroo Station Lead Mine and general working capital purposes.
The Sentient Credit Facility is secured, accrues interest at the rate of 10% per annum and matures on the earlier of March 31, 2019 and the full funding of the Paroo Station Lead Mine (refer to press release dated February 27, 2018). Following the Amendment the amount owing under the Senior Credit Facility will be approximately US$20.0 million. The Amendment is subject to the Company receiving approval from the Toronto Stock Exchange.
Forward looking statements
This news release may contain "forward-looking statements" within the meaning of applicable Canadian securities laws. Examples of forward-looking information in this news release include but are not limited to statements and information concerning the expected use of proceeds. Toronto Stock Exchange approval for the Amendment and the maturity date of the Sentient Credit Facility. Forward-looking statements are often, but not always, identified by the use of words such as ''seek'', ''anticipate'', ''contemplate'', ''target'', ''believe'', ''plan'', ''estimate'', ''expect'', and ''intend'' and statements that an event or result ''may'', ''will'', ''can'', ''should'', ''could'' or ''might'' occur or be achieved and other similar expressions. Forward-looking information by its nature requires assumptions and involves known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward-looking information, and readers are cautioned not to place undue reliance on such information. These statements are based on expectations, estimates and projections as at the date of this news release and are subject to a number of risks and uncertainties. Should one or more of these risks or uncertainties materialize, or should assumptions underlying the forward-looking information prove incorrect, actual results, performance or achievement may vary materially from those expressed or implied by the forward-looking information contained in this news release. These risk factors should be carefully considered and readers are cautioned not to place undue reliance on forward-looking information, which is current only as of the date of this news release. All subsequent forward-looking information attributable to LeadFX herein is expressly qualified in its entirety by the cautionary statements contained in or referred to herein. LeadFX does not undertake any obligation to release publicly any revisions to this forward-looking information to reflect events or circumstances that occur after the date of this news release or to reflect the occurrence of unanticipated events, except as may be required under applicable securities laws.
SOURCE LeadFX Inc.
For further information: Andrew Worland, Managing Director, President and Chief Executive Officer, LeadFX Inc, Level 16, 191 St George's Terrace, Perth, Western Australia, 6000, [email protected], Email: [email protected]