Orla Mining amends, extends facility with $150 million revolver

By Mary-Katherine Stinson

Lexington, Ky., Aug. 29 – Orla Mining Ltd. amended and extended its existing credit facility with its existing syndicate of lenders, according to a press release on Tuesday.

The Bank of Nova Scotia, Bank of Montreal and Canadian Imperial Bank of Commerce are the existing lenders.

The amended facility consists of a $150 million revolving facility and, subject to certain conditions and consents, a $50 million accordion. It replaces the company’s existing facility comprised of a $100 million term facility set to expire in April 2027 and a $50 million revolving facility set to expire in April 2025.

The facility matures on Aug. 28, 2027, which extends the term on the company’s existing revolver by two years.

The interest rate for the amended facility will be based on term SOFR plus an applicable margin ranging from 250 basis points to 375 bps based on the company’s leverage ratio at the end of each fiscal quarter. This represents a 25 bps decrease to the lower end of the range compared to the company’s previous facility.

The standby fee for the undrawn portion of the facility has also been lowered to 22.5% of the applicable margin from 25%.

There are no quarterly mandatory repayments, as were required under the previous term facility. Full payment of the revolver is due upon maturity.

According to the press release, the company has drawn $113.4 million under the amended facility with an applicable margin of 250 bps based on its leverage ratio at closing.

Orla is a Vancouver, B.C.-based mining company.

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