IMHO the FRUSTRATING POOR Performance is LIKELY Due to the CONSIDERABLE UNCERTAINTY of HOW WELL $$$$$$$$WISE Trigon ACTUALLY DOES with regard to
the Current LOW GRADE Open Pit Mining and Concentrate SALES.
UNTIL Management REPORTS on the ACTUAL Financial Results__We Will NOT HAVE the
Current VEIL of UnCertainty REMOVED__Until THEN the Share Price MAY CONTINUE
Being QUITE DISAPPOINTING.
So the TWO KEY FACTORS to keep IN MIND with regard to this ARE the Very LOW GRADE
of the Open Pit ORE__20% Reported by Management__while the average for Profitable Mines
is around 27/30% or more.
And the BIGGIE is that the $USD 5 Million CREDIT LINE entered into last Fall HAS TO BE Continually PAID OFF with EACH and EVERY Concentrate Shipment/Sale.
Financing Facility
Trigon and its Namibian subsidiary, Trigon Mining (Namibia) (Pty) Ltd ("Trigon Namibia"), have entered into a credit agreement with IXM for a US$5 million project finance facility (the "Facility"), the proceeds of which will be used for capital and operating expenditure for the restart of the Kombat Mine.
The Facility is expected to be drawn down in two tranches of US$2.5 million each. The drawdowns are subject to various conditions precedent, including signature of the offtake agreement as referred to below, receipt of applicable board of directors, and regulatory approvals, as well as confirmation of further funding support from Trigon as required.
The Facility is repayable over 36 months, commencing 6 months after the initial drawdown. Trigon Mining will pay to IXM a commitment fee of 3.2% of the Facility amount and an arrangement fee of 1.0% of the Facility amount, each fee payable pro rata based on the amount of each tranche. TORONTO, ON / ACCESSWIRE / November 23, 2021 / Trigon Metals Inc. (TSX-V:TM) ("Trigon" or the "Company") is pleased to announce that it has satisfied all of the conditions precedent to funding pursuant to its credit agreement with IXM SA ("IXM") for a US$5 million project finance facility for the restart of the Kombat mine, as announced on October 28, 2021.
The first tranche of the credit facility of US$2.5 million will be drawn down immediately, with the second tranche consisting of the remaining US$2.5 million anticipated to be drawn down in December 2021, subject to conditions precedent for that tranche, including a requirement of further funding support from Trigon, as required.