Nordex Explosives Ltd V.NXX

RE:RE:Frabrice

[Bean_and_Dunn]

The amounts mentioned below in the March 6, 2015 Material Change Report suggest that Nordex does have its house somewhat more in order, as the Royal Bank agreed to provide a 36% boost to Nordex's credit facility and a 13% increase in the revolving credit facilities.

The two changes amount to an extra 1,000,000 dollars. Plus the Royal Bank has consolidated $1,100,000 of higher interest loans held formerly by other institutions into a lower interest loan bringing an annual savings of intesest of $81,882. 

An extra million dollars would handily pay for at least 1 new sattelite site.


FORM 51 – 102F3
MATERIAL CHANGE REPORT
1. Full name and address of the Company.
Nordex Explosives Ltd. (the “Issuer”)
3045 Dane Road
PO Box 790
Kirkland Lake, Ontario
P2N 3K4
2. Date of Material Change.
February 27, 2015.
3. News Release.
A news release with respect to the material change referred to in this report was issued by the
Issuer through Marketwired on February 27, 2015 and subsequently filed on www.SEDAR.com.
4. Summary of Material Change.
On February 27, 2015, the Issuer announced that it had entered into agreements with the Royal
Bank of Canada (“RBC”) to provide the Issuer with increased credit facilities.
5. Full Description of Material Change.
On February 27, 2015, the Issuer announced that had entered into agreements with RBC to
provide the Issuer with increased credit facilities.
The credit facility previously available to the Issuer was for up to Cdn $2,200,000 which included
an operating line and/or letters of credit of up to Cdn $1,200,000 and a second facility for
revolving term loans of up to Cdn $1,000,000.
Under the terms of the new agreements, the facility for operating lines and/or letters of credit have
been increased from Cdn $2,200,000 to Cdn $3,000,000 and the revolving credit facilities have
been increased from Cdn $1,550,000 to Cdn $1,750,000.
In addition, RBC has agreed to consolidate Cdn $1,100,000 of long term higher interest debt
previously secured by other lenders. The consolidation loan is amortized over a 4 year period at an
interest rate of 3.59%. The new consolidation loan with RBC will accelerate payment of this debt
and result in interest payment savings of Cdn $81,882 per year.