(TheNewswire)
Highlights:
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Due to higher cobalt prices, JervoisFinland has increased its working capital facility with MercuriaEnergy Trading SA (“Mercuria”) from US$75 million to US$150million.
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This extends Jervois’ flexibilityto fund future increases in working capital which may result fromhigher cobalt prices.
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All amounts owing under the facilityagreement will continue to be secured against Jervois Finland’sassets including working capital.
Victoria, Australia – The Newswire – June 6, 2022, Jervois Global Limited (“ Jervois ”) (ASX:JRV)(TSX-V:JRV) (OTC:RVMF) advises its subsidiaries Jervois Suomi(Holding) Oy and Jervois Finland Oy (“ Jervois Finland ” orthe “ Borrowers ”) have entered a US$75 million increase to the securedloan facility (the “ Facility ”) with Mercuria Energy Trading SA,a wholly-owned subsidiary of Mercuria Energy Group Limited(“ Mercuria ”).
The Facility, dated 28 October 2021, had an initiallimit of US$75 million (now fully drawn) and included an uncommittedincrease of a further US$75 million ( the “Accordion” ). Mercuria has now committed to the Accordion increase of US$75million.
Key terms of the Facility remain consistent withJervois’ announcement to the market on 29 October 2021. TheFacility continues to have a maturity date of 31 December 2024, withannual interest payable on amounts drawn of LIBOR + 5.0 per cent. The Borrowers can draw to the lower of the maximum amount and 80 percent of the collateral value, where collateral is defined as the valueof Jervois Finland’s inventory and receivables, calculated monthly(reduced to 70 per cent for eligible inventory in Finland exceedingUS$75 million).
The Facility is secured against the Jervois Finlandshares owned by Jervois Global and the assets owned by the JervoisFinland group of companies, and is guaranteed by Jervois Global. Amaximum of US$50 million is permitted to be transferred out of theJervois Finland group of companies, for other general purposes in theJervois Global group.
Full terms and conditions of the Facility were filedand are available on Jervois’ corporate profile on SEDAR atwww.sedar.com.
On behalf of Jervois Global Limited
Bryce Crocker, CEO
For further information, please contact:
Investors and analysts: James May Chief Financial Officer Jervois Global | Media: Nathan Ryan NWR Communications nathan.ryan@nwrcommunications.com.au Mob: +61 420 582 887 |
Neither TSX Venture Exchange nor itsRegulation Services Provider (as that term is defined in policies ofthe TSX Venture Exchange) accepts responsibility for the adequacy oraccuracy of this release.
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