Artemis Gold closes on C$385 million syndicated project loan

Chicago, March 1 – Artemis Gold Inc. closed on a C$385 million syndicated project loan financing, according to a press release.

The C$385 million breaks down into C$360 million plus up to C$25 million for capitalized interest before the project is completed.

Interest will be at CDOR plus 475 basis points before the project is completed. There will be a 50 bps step down once the project is completed.

There is also a provision for an additional C$40 million cost overrun facility.

Any draw on the cost overrun facility will bear interest at the same rates as the original facility plus an additional 200 bps.

The loan has quarterly amortization payments starting in the third quarter following commercial production, with a reduction in repayments during the period when the company expects to expand the project from phase 1 to phase 2.

The facility can be prepaid at any time without penalty.

The syndicate includes National Bank of Canada, Macquarie Bank Ltd., ING Capital LLC, Societe Generale and Bank of Montreal.

Proceeds will be used to fund the construction costs of the company’s Blackwater Gold Project in British Columbia.

The gold producer is based in Vancouver, B.C.

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