Glencore InternationalThis board has talked about GMI and Glencore quite alot and I came across this deal. I would like your coments on this. Zaruma Resources Inc., (TSX-ZMR) is pleased to announce that it has
established the senior secured debt financing of US$22 million for the
development of the Luz del Cobre copper project at San Antonio, Sonora,
Mexico. The funding will be from a subsidiary company in the Glencore
International AG group of companies, ("Glencore"), Under the terms of the loan agreement, Glencore acquired the right to
purchase all copper production from Luz del Cobre, based on London
Metal Exchange market prices. Under certain circumstances the Company
will be expected to enter into forward sales contracts for up to 80% of
the projected production, until the 85% of the projected net cash flow
from operations to be dedicated to debt repayment is projected to be
sufficient to repay the borrowings. The cumulative repayments must not
be less than US$4 million by July 31, 2009, US$11 million by January
31, 2010, US$18 million by July 31, 2010 and US$25 million by January
31, 2011. More on https://www.zaruma.com/
Could this have been GMI's projected deal ounce mine is up and running other then the deal from the Bank's?
LDAVID