Northern Vertex secures US$9M equipment finance facility from Cat Financial
Tuesday, May 02, 2017
Northern Vertex Mining Corp. (TSX.V:NEE) (the "Company" or "Northern Vertex") is pleased to announce the execution of a commitment letter and term sheet with Caterpillar Financial Services Corporation ("Cat Financial"), pursuant to which Cat Financial has agreed in principle to fund the Company's purchase of certain key equipment including power generators and mobile equipment manufactured by Caterpillar Inc. and the crushing plant for use at the Company's Moss Mine gold silver project.

Kenneth Berry, the Company's President and CEO, states: The Cat Financial US$9M Equipment Finance Facility combined with the previously announced Sprott Lending Facility of US$20M will strengthen the Company's ability to fulfill its mandate of producing gold in Q4 2017.  Construction activities at the Company's Moss Gold Mine continue under the guidance of M3 Engineering Technology Corp., Golder Associates Inc., and N.A. Degerstrom, Inc.

The material terms and conditions of the Cat Financial equipment finance facility (the "Equipment Finance Facility") include:

  • Financing between 70% - 80% of the equipment purchase price to maximum amount of US$9,000,000 of equipment purchases;
  • Quarterly payments over a four year lease period;
  • The right to buy the equipment at the end of the lease period for nominal consideration;
  • Security over the acquired assets in favour of Cat Financial and a guarantee from the Company; and
  • Payment of interest and arrangement and commitment fees to Cat Financial.
Closing of the Equipment Finance Facility is subject to customary conditions for such financings including the execution of a Master Lease Agreement and applicable security documentation, equipment delivery and satisfactory completion of conditions precedent.

About Northern Vertex

Northern Vertex Mining Corp. is an exploration and mining company focused on the reactivation of its 100% owned Moss Mine Gold/Silver Project located in NW Arizona, USA. The Company's management comprises an experienced management team with a strong background in all aspects of acquisition, exploration, development, operations and financing of mining projects worldwide. The Company is focused on working effectively and respectfully with our stakeholders in the vicinity of the historical Moss Mine and enhancing the capacity of the local communities in the area.

For more information, please visit: https://www.northernvertex.com
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