Galantas Gold Corporation has entered into a loan agreement for US$1.06 million (£800,000) with Ocean Partners UK Ltd for working capital and Cavanacaw gold mine in Omagh, Northern Ireland.
TERMS
Galantas said in a statement that the loan would carry an interest at an annual rate of 10% and is payable six months from the date of issue.
Ocean Partners will receive in return 250,000 warrants of Galantas.
Galantas will also pay Ocean Partners a structuring fee of $20,000 to be deducted from the initial proceeds of the loan, and a consulting fee of $40,000.
The miner may extend the loan for a further six months by paying Ocean Partners an additional structuring fee of $40,000.
PRODUCTION
“I want to thank Ocean Partners for their continued, long-term support of Galantas, and their willingness to work with us to achieve production at the end of Q1 this year,” said chief executive Mario Stifano.