TORONTO (miningweekly.com) – Junior project developer Mountain Province Diamonds (MPD) has closed a $370-million term loan facility that will enable it to build, commission and ramp up its Gahcho Kué project, in Canada’s Northwest Territories, to commercial production.
The loan was provided by a syndicate of lenders led by Natixis, Scotiabank and Nedbank, and included ING Capital, Export Development Canada and the Bank of Montreal.
The maximum term of the facility was seven years and the interest rate was pegged at the US dollar London interbank interest rate plus 5.5%.
The continued drawdown against the facility and its maintenance were dependent, from time to time, on satisfying or waiving certain conditions.
MPD also announced on Tuesday that all plans to deliver equipment and supplies for the 2015 ice road were completed on schedule at the end of last month, clearing the way for significant construction of the Gahcho Kué diamond mine to be completed.
The mine development remained on schedule and within budget, with first production expected in the second half of 2016.