TSX-listed copper producer Nevada Copper, which owns Pumpkin Hollow in Nevada, in the US, has closed several previously announced balance sheet strengthening transactions, including amendments to its senior credit facility with KfW IPEX-Bank and amendments to the metals purchase and sales agreement with an affiliate of Triple Flag Precious Metals (TFPM).
The amendments to the facility with KfW IPEX-Bank would provide for $12.2-million in payment deferrals through the re-sculpting of certain amortisation and debt service reserve account payments.
An amendment to the agreement with TFPM provided for an additional $15-million in payments to Nevada Copper.
The company also concluded a new net smelter return royalty agreement with an affiliate of TFPM over its openpit project and Tedeboy exploration property. The company has received an aggregate of $20-million as the purchase price for these royalties.
Nevada Copper issued TFPM 15-million common share purchase warrants at an exercise price of C$0.225.
Further, the miner said it had closed a new convertible loan facility with Pala Investments for $30-million, which extended and replaced the $30-million unsecured credit facility the company entered into with Pala on November 29, 2019.
Nevada Copper and Pala intend to seek additional investors to which Pala may syndicate a portion of the convertible loan up to a maximum amount of $12-million.
It also concluded a backstop agreement with Pala and an affiliate of TFPM, providing for up to $20-million, which would be available for the company to call on if required until December 31, 2021 if it was unable to raise capital from other sources.