TORONTO, ONTARIO -- (Marketwire) -- 06/29/12 -- Ivernia Inc. (TSX: IVW) ("Ivernia" or the "Company") today announced that it has closed its previously announced secured loan facility (the "Facility") with Enirgi Group Corporation, the Company's majority shareholder.
As disclosed in the Company's news release dated June 11, 2012, under the Facility, Ivernia has the right to draw down up to $6 million ("Principal Sum"), if and as required, and to pre-pay at its option any outstanding amount of the Principal Sum with accrued interest. The Facility expires on June 28, 2013. Amounts drawn down on the Facility will bear interest at an annual simple rate of 8.3%, with interest payable in arrears upon the earlier of the pre-payment of principal or the maturity date. Any outstanding principal and unpaid interest will be due and payable on the maturity date and no interest or fees will be charged on unused portions of the Facility. The Facility is secured by a first priority perfected security interest over the stockpile of approximately 10,100 dry metric tonnes of lead carbonate concentrate held at the Magellan Mine.
The proceeds of the Facility will be used to strengthen Ivernia's financial position generally and specifically to provide working capital to fund the ongoing care and maintenance period at the Magellan Mine.
Ivernia is an international base metal mining company and the owner of the Magellan Mine, located in Western Australia.