Troubled Vancouver-based Imperial Metals Corporation has embarked on a restructuring process, which will entail exploring “all strategic alternatives” for the company, the owner of the Red Chris, Mount Polley and Huckleberry copper and gold mines in British Columbia announced on Monday.                                             

Imperial, which was recently knocked by a two-month strike at Mount Polley, has established a special committee to identify, consider and negotiate a potential sale of assets, joint ventures (JVs) and a sale or merger of the company.

Imperial has already held preliminary discussions with a potential JV partner, the TSX-listed miner confirmed.

Imperial has also received support from its shareholders and lenders, with the company announcing that shareholder and billionaire Murray Edwards’ Edco Capital had provided a guarantee to allow for the due date of a C$200-million revolving credit facility to be extended from October 1, 2018, to February 15, 2019.

The guarantee has a yearly fee of 225 basis points.

The due date of its second lien facility of C$50-million has also been extended from December 1, 2018, to February 15, 2019, and the annual fee for the Edco guarantee has been lowered from 387.5 basis points to 225 basis points.

The bridge loan of C$26-million has been extended from January 5, 2019 to February 28, 2019.

Imperial further announced the sale of a 0.5% net smelter return royalty interest on the Red Chris project for $17-million to a company of which one of its significant shareholders is a minority equity holder.

“We are thankful to our major shareholders and lenders for supporting the process designed to help us emerge from a very difficult period. We are highly confident in the strength and long term value of our assets,” said Imperial president Brian Kynoch.

The May to July strike by unionised employees had hit Imperial’s revenue in the most recent quarter, resulting in the company plunging to a C$36.56-million loss in the June quarter, from a profit of C$99.54-million in the prior year.

Imperial posted a profit of C$77.1-million in 2017, the first following years of annual losses.

The company’s stock responded positively, climbing 22.8% to C$1.40 a share. The share price is still well down on its 52-week high of C$3.76 apiece.