VANCOUVER, British Columbia, Sept. 04, 2019 (GLOBE NEWSWIRE) -- FPX Nickel Corp. (FPX-TSX.V) (“FPX Nickel” or the “Company”) is pleased to announce that, further to its announcement on March 25, 2019, it has closed the amended and new loan agreements to extend the maturity of its long-term debt from September 4, 2020 to September 4, 2022 and September 4, 2025. The Company’s debt refinancing is underpinned by a C$4 million loan (the “Bradshaw Loan”) from Peter Bradshaw, the Company’s Chairman and largest shareholder, on terms consistent with the Company’s arm’s length long-term debt.
On closing of the new and amended loan agreements, the Company’s long-term debt is as follows:
- Bradshaw Loan with principal of C$4 million and accrued interest due on September 4, 2025.
- Loan from an arm’s length shareholder (the “Private Shareholder Loan”) with principal of US$2.5 million and accrued interest due on September 4, 2022.
The Loans bear a headline interest rate of 7.5%, of which 2% will be paid currently, on a semi-annual basis, and the remaining 5.5% is payable at the respective maturity dates of the Loans. The Private Shareholder Loan is secured by a fixed and specific charge against the Company’s Decar mineral claims. There are no covenant provisions associated with Loans, which may be repaid, in whole or in part, prior to the respective maturity dates and without penalty, at the Company’s option. The terms of the Company’s amended and new loan agreements are more fully described in the Company’s news release dated March 25, 2019.
About FPX Nickel Corp.
FPX Nickel Corp. is focused on the exploration and development of the Decar Nickel-Iron Alloy Project, located in central British Columbia, and other occurrences of the same unique style of naturally occurring nickel-iron alloy mineralization known as awaruite. For more information, please view the Company’s website at www.fpxnickel.com or contact Martin Turenne, President and CEO, at (604) 681-8600.
On behalf of FPX Nickel Corp.
"Martin Turenne"
Martin Turenne, President, CEO and Director
Forward-Looking Statements
Certain of the statements made and information contained herein is considered “forward-looking information” within the meaning of applicable Canadian securities laws. These statements address future events and conditions and so involve inherent risks and uncertainties, as disclosed in the Company's periodic filings with Canadian securities regulators. Actual results could differ from those currently projected. The Company does not assume the obligation to update any forward-looking statement.
Neither the TSX Venture Exchange nor its Regulation Services Provider accepts responsibility for the adequacy or accuracy of this release.
