TNR gives up 10% of Shotgun, other royalties to extend loan
Last updated 1/10/2016 at Noon
TNR Gold Corp. Jan. 5 reported significant restructuring of its indebtedness to a private backer who advanced a C$3.5 million loan to the company in 2012.
Instead of repayment by the end of 2015, TNR Gold and the lender have agreed to extend the due date of the loan to Dec. 31, 2018.
The roughly C$4.3 million currently owed will bear an annual interest rate of 10 percent, with interest payable at maturity.
In consideration of the restructuring, the lender also will receive a 10 percent interest in the mineral claims comprising the Shotgun gold property in Southwest Alaska; TNR Gold's 0.4 percent net smelter royalty in the Los Azules copper project in Argentina; and the company's two percent net smelter royalty in the Mariana Lithium project in Argentina.
TNR Gold said this restructuring will allow it to pursue its business and seek strategic transactions for its mineral property assets.