Vancouver, British Columbia–(Newsfile Corp. – April 26, 2022) – Sarah Armstrong-Montoya, President and CEO of Cordoba Minerals Corp. CBD CDBMF else (“Cordoba” or the “Company”) is pleased to announce that the Company has entered into a short-term loan with its majority shareholder Ivanhoe Electric Inc. (“IVNE”).
Cordoba has secured a US$6 million short-term loan (the “bridge loan”) from its majority shareholder, IVNE. The bridge loan was granted in the form of a grid promissory note and bears interest at the rate of 12% per annum, capitalized only at maturity. The interest rate will increase to 14% per annum if Cordoba does not repay the amount due by the due date, which is September 30, 2022. The purpose of the bridge loan is to ensure that the company has enough cash to ensure it can support its general working capital needs. IVNE will advance funds under the Bridge Loan at its discretion from time to time, at the request of Cordoba.
The bridge loan constitutes a “related party transaction” under Multilateral Instrument 61-101 — Protection of Minority Security Holders in Special Transactions (“MI 61-101”) because IVNE is a related party to Cordoba given its profit share of more than 10%. . Pursuant to section 5.7(1)(f) of NI 61-101, the Company is exempt from the requirement to obtain the approval of the Company’s minority shareholders in respect of the bridge loan, as it has been determined that the bridge loan is on reasonable commercial terms that are no less advantageous to the Company than if the bridge loan had been obtained from a person dealing at arm’s length with the Company and because the bridge loan n is not convertible or redeemable into shares or voting securities of the Company or any subsidiary of the Company or otherwise participate in nature. The Company will file a material change report with respect to the Bridge Loan. However, the material change report will be filed less than 21 days before the closing of the bridge loan, which is consistent with market practice and which the Company considers reasonable in the circumstances.
Cordoba Minerals Corp. is a mining exploration company focused on the exploration, development and acquisition of copper and gold projects. Cordoba is developing its 100% owned San Matias copper-gold-silver project, which includes the Alacran deposit and satellite deposits at Montiel East, Montiel West and Costa Azul, located in the department of Cordoba, Colombia. Cordoba is also exploring the Perseverance Copper project in Arizona, USA under a joint venture and payoff agreement with Bell Copper Corporation. For more information, please visit www.cordobaminerals.com.
IN THE NAME OF THE COMPANY
Sarah Armstrong-Montoya, President and CEO
Ran Li +1-604-689-8765
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
This press release contains “forward-looking statements” and “forward-looking information” within the meaning of Canadian securities laws. All statements included in this press release, other than statements of historical fact, are forward-looking statements, including, but not limited to, the bridge loan, including drawdown, repayment schedule and anticipated goals. of the bridge loan. Forward-looking statements include predictions, projections and forecasts and are often, but not always, identified by the use of words such as “anticipate”, “believe”, “plan”, “estimate”, “expect “, “potential”, “objective”, “budget” and “intent” and statements that an event or result “may”, “will”, “should”, “might” or “could” occur or be achieved and other similar expressions, including their negative forms.
Forward-looking statements are based on a number of assumptions and estimates which, although considered reasonable by management based on the businesses and markets in which Cordoba operates, are inherently subject to significant uncertainties, risks and contingencies. operational, economical and competitive. There can be no assurance that such statements will prove to be accurate and actual results, and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from the Company’s expectations include actual exploration results, interpretation of metallurgical characteristics of mineralization, changes in project parameters as plans continue being refined, future metal prices, availability of capital and financing on acceptable terms, general economic, market or business conditions, uninsured risks, regulatory changes, delays or failure to receive required approvals, and other exploration or other risks detailed herein and from time to time in documents filed by the Company with securities regulatory authorities, including those described under “Risks and Uncertainties” in the latest management report filed by the Company. The Company does not undertake to update or revise any forward-looking statements except in accordance with applicable law. Readers are cautioned not to place undue reliance on these forward-looking statements.
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