NorZinc Details Secures US$6 Million Bridge Loan To Advance Prairie Creek Project; Comes After Surging 20% Yesterday
07:31 AM EDT, 05/20/2022 (MT Newswires) -- NorZinc Ltd. (NZC.TO) said overnight Thursday that it had signed a US$6 million secured loan agreement with top shareholder RCF VI CAD LLC.
NorZinc, which jumped 20.0% yesterday, will use the proceeds to fund the work program at the Prairie Creek project, including a 5,300-meter surface exploration drill program.
NorZinc said the progrma also includes a televiewer logging and analysis on the planned drill holes, which will provide additional data and improve certainty, and additional metallurgical sample collection and test work, which will increase the accuracy of the concentrate quality and recovery forecasts for mining in the initial three to five years.
The loan has an interest rate of 8% per annum and is secured by NorZinc and its guarantor's present and future personal property.
"We value our relationship with RCF as our largest shareholder/partner and appreciate their continued support for the company's development of the Prairie Creek project," President and CEO Rohan Hazelton said.
"We look forward to commencing the planned 2022 work program which will establish new, high quality data that will form part of an enhanced, upgraded feasibility study to begin later this year."