TORONTO, Oct. 18,
2024 /CNW/ - Laramide Resources Ltd.
("Laramide" or the "Company") (TSX: LAM) (ASX: LAM)
(OTCQX: LMRXF), a uranium mine development and exploration
company with globally significant assets in the United States and Australia, is pleased to announce that
the Company and its lenders, Extract Capital Master Fund Ltd. and
Extract Lending LLC (together, the "Lenders"), with Extract
Advisors LLC acting as agent for and on behalf of the Lenders,
completed an amendment to the existing term loan made by the
Lenders in favour of Laramide Resources (USA) Ltd. (the "Term Loan"), which
includes, among other things, (i) an extension of the maturity date
of the Term Loan from March 31, 2025
to April 1, 2026, and (ii) a
new non-convertible CAD$5 million
standby credit facility (the "Multi-Draw Facility") with
Extract. The Multi-Draw Facility will have the same maturity date
as the Term Loan and allows for multiple drawdowns. All other terms
of the Term Loan remain unchanged with a 7% coupon and CDN$0.40 conversion price while the Multi-Draw
Facility, if utilized, will incur interest expense at 12% per
annum.
The Multi-Draw Facility will also have a
$50,000 commitment fee (paid on
closing) and a 1% standby fee on the undrawn portion of the
Multi-Draw Facility payable quarterly. The Multi-Draw Facility will
not be convertible into common shares of the Company.
In connection with the Multi-Draw Facility,
Laramide has agreed to issue the Lenders 750,000 warrants to
purchase common shares of the Company exercisable until
October 18, 2027 at a price per
common share equal to 135% of the volume weighted average trading
price of the common shares on the Toronto Stock Exchange for the
five trading days prior to closing.
Commenting on the transaction, Laramide's
President and CEO Marc Henderson
said: "We are pleased for the continuing support of Extract, which
has been a long-term shareholder of Laramide since well before the
current uranium bull market began. With many catalysts immediately
ahead for us, including further drill results from our ongoing
Australian drilling program and an important upcoming State
election in Queensland on
October 26th, we believe these newly
announced transactions will provide valuable financial flexibility
for us going forward and should prove mutually beneficial."
The issuance of the warrants to the Lenders remains
subject to customary conditions including approval of the Toronto
Stock Exchange and the Australian Securities Exchange, if
applicable.
To learn more about Laramide, please visit the Company's
website at www.laramide.com.
Follow us on Twitter @LaramideRes
About Laramide Resources Ltd.
Laramide is focused on exploring and developing high-quality
uranium assets in Tier-1 uranium jurisdictions of Australia and United
States. The company's portfolio comprises predominantly
advanced uranium projects in districts with historical production
or superior geological prospectivity. The assets have been
carefully chosen for their size, production potential, and the two
large projects are considered to be late-stage, low-technical risk
projects.
Forward-looking Statements and Cautionary Language
This release includes certain statements that
may be deemed to be "forward-looking statements". All statements in
this release, other than statements of historical facts, that
address events or developments that management of the Company
expect, are forward-looking statements. Forward-looking statements
are frequently, but not always, identified by words such as
"expects", "anticipates", "believes", "plans", "projects",
"intends", "estimates", "envisages", "potential", "possible",
"strategy", "goals", "objectives", or variations thereof or stating
that certain actions, events or results "may", "could", "would",
"might" or "will" be taken, occur or be achieved, or the negative
of any of these terms and similar expressions. Actual results or
developments may differ materially from those in forward-looking
statements. Laramide disclaims any intention or obligation to
update or revise any forward-looking statements, whether as a
result of new information, future events or otherwise, save and
except as may be required by applicable securities laws.
Since forward-looking information address
future events and conditions, by their very nature they involve
inherent risks and uncertainties. Actual results could differ
materially from those currently anticipated due to a number of
factors and risks. These include, but are not limited to,
exploration and production for uranium; delays or changes in plans
with respect to exploration or development projects or capital
expenditures; the uncertainty of resource estimates; health, safety
and environmental risks; worldwide demand for uranium; uranium
price and other commodity price and exchange rate fluctuations;
environmental risks; competition; incorrect assessment of the value
of acquisitions; ability to access sufficient capital from internal
and external sources; and changes in legislation, including but not
limited to tax laws, royalties and environmental
regulations.
SOURCE Laramide Resources Ltd.