TORONTO, ONTARIO--(Marketwired - Feb. 10, 2016) -
NOT FOR DISTRIBUTION TO U.S. NEWS WIRE SERVICES OR DISSEMINATION IN THE UNITED STATES.
Lydian International Limited (TSX:LYD) ("Lydian" or "the Company") is pleased to announce that International Finance Corporation ("IFC") has proposed to invest US$40 million in the Amulsar construction financing arrangement as announced by the Company on December 1, 2015.
IFC participation may include: full or partial exercise of its preemptive right in respect of the US$80 million equity private placement to Orion Mine Finance ("Orion") and Resource Capital Fund VI L.P. ("RCF") and of the $25 million public equity offering; and co-investment along with Orion and RCF in the stream agreement, term loan facility, and cost overrun facility.
IFC has been a shareholder of the Company since 2007 and presently holds approximately 7.9% of the Company's outstanding ordinary shares.
Howard Stevenson, Lydian's President and CEO, stated, "IFC is an important shareholder and has been a valued resource and partner of Lydian for many years. IFC is a well-regarded investor known for successfully contributing to the environmental and social excellence of the projects it supports. We are pleased to have IFC join with Orion and RCF to provide financial and other support during the Company's development of Amulsar."
IFC's proposed investment is subject to certain conditions, including approval by IFC's Board of Directors following completion of a required 60 day public disclosure period and execution of definitive agreements. Subject to all conditions being satisfied, completion of IFC's investment is expected by the end of June 2016.
About Lydian International Limited
Lydian is an emerging gold developer, focused on its 100%-owned Amulsar Gold Project, located in south-central Armenia. The Company's current mine development and construction plan for Amulsar is aimed at achieving average production greater than 200,000 ounces of gold per year and establishing the Company as a high cash-flow producer. The Company is committed to best practices in all aspects of its operations including production, sustainability, and good corporate citizenry. For more information and to directly contact us, please visit www.lydianinternational.co.uk.
Caution regarding forward-looking information
Certain information contained in this news release is "forward looking". All statements in this news release, other than statements of historical fact, that address events, results, outcomes or developments that the Company expects to occur are "forward-looking statements". Forward-looking statements are statements that are not historical facts and are generally, but not always, identified by the use of forward-looking terminology such as "plans", "expects", "is expected", "intends", "anticipates" or variations of such words and phrases or statements that certain actions, events or results "may", "could", "would", "should", or "occur" or the negative connotation of such terms. Forward-looking statements in this news release include, among others, statements with respect to: IFC's participation in the construction financing for the Amulsar Gold Project and the timing, terms and allocation of any such investment; satisfaction of the conditions precedent to any investment by IFC; the private placement by Orion and RCF and the public equity offering; and the special meeting of shareholders.
All forward-looking statements in this news release are based on the opinions and estimates made as of the date such statements and are made and are subject to important risk factors and uncertainties, many of which are beyond the Company's ability to control or predict.
Forward-looking statements are necessarily based on estimates and assumptions that are inherently subject to known and unknown risks, uncertainties and other factors that may cause actual results, performance or achievements to be materially different from those expressed or implied by such forward-looking statements. Such risks, uncertainties and factors include, without limitation: the actual results of marketing activities; changes in gold and silver prices; adverse general economic, market or business conditions; regulatory changes; third parties agreeing to invest in the Company and the satisfaction of any conditions to such agreements; as well as "Risk Factors" included in the disclosure documents filed on and available at www.sedar.com. Forward-looking statements are not guarantees of future performance, and actual results and future events could materially differ from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements. All of the forward-looking statements contained in this news release are qualified by these cautionary statements. The Company expressly disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, events or otherwise, except in accordance with applicable securities laws.