Artemis Gold has secured a C$360m ($280m) project loan facility (PLF) from Macquarie Bank and National Bank of Canada for its Blackwater gold project in central British Columbia, Canada.
Under the PLF, the company will also secure up to C$25m ($19.5m) in capitalised interest and a C$40m ($31.2m) standby cost overrun facility.
The PLF closing is subject to completion of final due diligence, definitive documentation and other typical conditions.
Artemis intends to execute a definitive credit agreement during the second quarter of this year.
Artemis Gold chairman and CEO Steven Dean said: The committed underwriting of the PLF by two renowned global banks is another important step towards de-risking the development of Blackwater.
“This underlines the robust economics and debt carrying capacity of the Project, further evidenced by the addition of the standby cost overrun facility to the original PLF proposal.”
Artemis Gold is planning to begin the early works programme at Blackwater gold project during the spring of this year.
In July last year, Artemis Gold received early works permit for its Blackwater Gold project from the British Columbia government.
The project is said to hold 8.2 million ounces of gold in proven and probable mineral reserves, in addition to 60.8 million ounces of silver.
Initially, the company will prepare the site to support the commencement of major works construction activities.
Artemis also aims to award fixed-price engineering, procurement and construction (EPC) contracts for the process plant and power transmission lines this spring.
In addition, the company is planning to secure the BC Mines Act permit during the summer of this year. Later, Artemis will begin the major construction activities on the project.
