TSX: TML
TORONTO, June 8, 2017 /CNW/ - Treasury Metals
Inc. ("Treasury" or the "Company") is pleased to
announce that, further to its press release dated May 8, 2017, the Company and its lenders, Extract
Advisors LLC ("Extract") and Loinette Company Leasing Ltd.
("Loinette" and together with Extract,
the "Lenders"), have completed an amendment (the
"Loan Extension") to the existing US$4.4 million convertible term loan which is
comprised of two tranches (the "Term Loan"). The Loan
Extension amended, among other terms, the maturity date of the Term
Loan, extending it to April 2, 2019,
from September 20, 2017.
Pursuant to the terms of the Loan Extension, US$2.2 million of the Term Loan has been amended
to be convertible at the election of the Lenders into common shares
in the capital of the Company (the "Common Shares") at a
conversion price fixed at C$0.90 per
Common Share, representing approximately a 37.5% premium to the
closing price of the Common Shares on May 5,
2017 prior to entering into the binding term sheet
("Tranche 1").
The remaining principal amount of US$2.2
million of the Term Loan is unchanged and continues to be
convertible into Common Shares at a price equal to C$0.588 per Common Share and will have no further
amendments ("Tranche 2"). The Loan Extension has been
superseded with a definitive agreement entered into by the Company
and the Lender on June 7, 2017.
Further details related to the Term Loan Extension were provided in
a press release issued by the Company on May
8, 2017.
Chris Stewart, President and
Chief Executive Officer, commented, "We are pleased with the
ongoing progress being made at Treasury, including the recent
completion of an $8 million equity
offering and the continued support from our convertible debenture
lenders, Extract and Loinette. We are now in the process of
restarting drilling on site to complete the remainder of the
condemnation drilling program after which we will look to start
additional infill drilling as part of the larger 30,000 metre
planned Phase II drill program. We remain focused on advancing the
Goliath Project towards a construction decision in H2 of 2018."
To view further details about the Company and Goliath Gold
Project, please visit the Company's website at
www.treasurymetals.com.
About Treasury Metals Inc.:
Treasury Metals Inc. is a gold focused exploration and
development company with assets in Ontario, Canada and is listed on the Toronto
Stock Exchange ("TSX") under the symbol "TML". Treasury Metals
Inc.'s 100% owned Goliath Gold Project in northwestern Ontario is slated to become one of
Canada's next producing gold
mines. With first-rate infrastructure currently in place and gold
mineralization extending to surface, Treasury Metals plans on the
initial development of an open pit gold mine to feed a 2,500 per
day processing plant with subsequent underground operations in the
latter years of the mine life. Treasury Metals is currently in the
mine permit process on the Goliath Gold Project.
Follow us on Twitter @TreasuryMetals
Forward-looking Statements
This release includes certain statements that may be deemed to
be "forward-looking statements". All statements in this release,
other than statements of historical facts, that address events or
developments that management of the Company expect, are
forward-looking statements. Actual results or developments may
differ materially from those in forward-looking statements.
Treasury Metals disclaims any intention or obligation to update or
revise any forward-looking statements, whether as a result of new
information, future events or otherwise, save and except as may be
required by applicable securities laws.
SOURCE Treasury Metals Inc.