LONDON, Aug. 20, 2018 /CNW/ - Meridian Mining SE (TSXV:
MNO) ("Meridian" or the "Company") today announced that that on
August 17, 2018 it entered into a new
loan agreement with Sentient Global Resources Funds IV LP
("Lender") pursuant to which the Lender made available to the
Company a credit facility of USD
1,500,000 to fund the Company's manganese operations in
Brazil and general working
capital. The loan bears interest at a rate of 10% per annum and
matures on September 30, 2019.
The proceeds from the Amendment will be used for:
- Purchasing or leasing of additional pre-screening equipment and
ancillary equipment;
- Due diligence on new prospects outside of the Company's current
tenements; and
- General working capital.
Mr. Clark, Interim CEO & President, states that "By working
with the Espigão mining and processing teams, we have identified
significant cost reductions associated with the production of the
Manganese concentrate. The pre-screening of the mined material
prior to hauling to the processing plants, removes 75% of the
gangue material while minimizing manganese loss. The residual ~25%
volume is then processed at the plants and produces an equivalent
volume of Mn concentrate.
The Company is also evaluating the opportunity of adding Mn
prospects to its current portfolio of properties.
The Company also announces that Mr. Carlos Braga will depart from the Company on
September 30th, 2018. Mr. Braga has
also resigned as COO. The Company thanks Mr. Braga for his years of
service with Meridian and wishes him best in the future.
The loan constitutes a "related party transaction" for purposes
of Multilateral Instrument 61-101 – Protection of Minority Security
Holders in Special Transactions ("MI 61-101"). The transaction is
exempt from the valuation and minority approval requirements of MI
61-101 in accordance with sections 5.5(a) and 5.7(a), respectively,
by virtue of the fact that the value of the loan is less than 25%
of the Company's market capitalization.
On behalf of the Board of Directors
of Meridian Mining SE
Gilbert Clark
Interim CEO, President and Director
ABOUT MERIDIAN
Meridian Mining SE is focused on the acquisition, exploration,
development and mining activities in Brazil. The Company is
currently focused on exploring and developing the Espigão manganese
and gold projects, the Bom Futuro tin JV area, and adjacent areas
in the state of Rondônia. Meridian is currently producing
high grade manganese at its project located at Espigão do
Oeste.
Further information can be found at www.meridianmining.co.
FORWARD-LOOKING STATEMENTS
Some statements in this news release contain forward-looking
information or forward-looking statements for the purposes of
applicable securities laws. These statements include, among
others, statements with respect to the Company's plans for
exploration and development of its properties and potential
mineralization. These statements address future events and
conditions and, as such, involve known and unknown risks,
uncertainties and other factors, which may cause the actual
results, performance or achievements to be materially different
from any future results, performance or achievements expressed or
implied by the statements. Such risk factors include, among
others, failure to obtain regulatory approvals, failure to complete
anticipated transactions, the timing and success of future
exploration and development activities, exploration and development
risks, title matters, inability to obtain any required third party
consents, operating hazards, metal prices, political and economic
factors, competitive factors, general economic conditions,
relationships with strategic partners, governmental regulation and
supervision, seasonality, technological change, industry practices
and one-time events. In making the forward-looking
statements, the Company has applied several material assumptions
including, but not limited to, the assumptions that: (1) the
proposed exploration and development of mineral projects will
proceed as planned; (2) market fundamentals will result in
sustained metals and minerals prices and (3) any additional
financing needed will be available on reasonable terms. The
Company expressly disclaims any intention or obligation to update
or revise any forward-looking statements whether as a result of new
information, future events or otherwise except as otherwise
required by applicable securities legislation.
The Company cautions that it has not completed any feasibility
studies on any of its mineral properties, and no mineral reserve
estimate has been established. In particular, because the
Company's production decision relating to Meridian Mineraçao Jaburi
S.A, manganese project is not based upon a feasibility study of
mineral reserves, the economic and technical viability of the
Espigão manganese project has not been established.
The TSX Venture Exchange has neither approved nor disapproved
the contents of this news release. Neither TSX Venture Exchange nor
its Regulation Services Provider (as that term is defined in the
policies of the TSX Venture Exchange) accepts responsibility for
the adequacy or accuracy of this release.
SOURCE Meridian Mining S.E.
