Canadian gold miner Iamgold has announced a $400-million, five-year second lien secured term loan from three institutional lenders.
Oaktree Capital Management, through funds managed by Oaktree, is the lead lender; with significant participation by Värde Partners and CI Global Asset Management.
The loan is part of the ongoing initiatives by the company to proactively increase the strength of its balance sheet during the construction, commissioning and ramp-up of the Côté gold project, in Ontario.
The construction budget and schedule of Côté remains on track, with the project about 80% complete as of the end of March 2023.
"Following the strategic transactions announced at the end of last year, which have positioned Iamgold with sufficient funding to complete the construction and ramp-up of Côté Gold as currently contemplated, the company has continued to work on improving its balance sheet and liquidity. The announcement today is an important step for the company in its objectives of putting in place a more appropriate capital structure and positioning itself for an ultimate return to the 70% ownership interest in Côté in the future,” said president and CEO Renaud Adams.
Côté remains on track for production in early 2024.