Nautilus Minerals and Deep Sea Mining Finance have agreed to extend the maturity date of the existing secured loan facility, which is currently due on January 8, for 30 days to February 8.
Nautilus is currently in discussions with an arm’s length party to secure a $5-million loan.
Nautilus must receive the loan, or another source of funding, on or before January 14, in order for the Nautilus group of companies to continue operations.
There can be no assurances that the company will receive the necessary funding by that date.
In the interim, Nautilus continues to negotiate with arm’s length third parties to create a new joint venture company (Vessel JV), as well as related transactions to provide a long-term funding solution.
If implemented, the Vessel JV would be owned by the third parties and Nautilus’ subsidiary Nautilus Minerals Niugini.
Nautilus explores the seafloor for massive sulphide systems, which it says are a potential source of high-grade copper, gold, zinc and silver.