Get the Latest Investment Ideas Delivered Straight to Your Inbox.

News Update

Precious Metals Miner Announces $10 Million Offtake Prepayment
News Update

Source:

The agreement pertains to future gold-silver concentrate produced at the company's Mexican operations.

Great Panther Mining Ltd. (GPR:TSX; GPL:NYSE.American) announced in a news release that its subsidiary, Minera Mexicana el Rosario, S.A., entered into a $10 million concentrate prepayment agreement with IXM Group, a Geneva-based physical metals trader.

IXM was set to advance Great Panther's subsidiary, Minera Mexicana, which operates the company's Mexican mining operations, this $10 million amount on Dec. 30, 2019. The prepayment is in consideration of an offtake agreement at market-based commercial terms for 100% of the gold and silver concentrates produced from the Guanajuato mine complex in Mexico in 2020 and 2021.

Great Panther provided IXM with a guarantee regarding the prepayment. No hedging of the gold or silver prices associated with the offtake or prepayment agreement can be done. The prepayment will bear interest at an annual rate of three-month U.S. LIBOR plus 5%.

"We are pleased to be partnering with IXM in Mexico for our GMC concentrates over the next two years," stated Jeffrey Mason, interim president and CEO. "Securing the sale of this off-take at competitive market terms, while strengthening our balance sheet with US$10 million at an attractive cost of capital, positions us well to achieve our strategic objectives as we move into 2020."

[NLINSERT]

Disclosure:
1) Doresa Banning compiled this article for Streetwise Reports LLC and provides services to Streetwise Reports as an independent contractor. She or members of her household own securities of the following companies mentioned in the article: None. She or members of her household are paid by the following companies mentioned in this article: None.
2) The following companies mentioned in this article are billboard sponsors of Streetwise Reports: None. Click here for important disclosures about sponsor fees.
3) Comments and opinions expressed are those of the specific experts and not of Streetwise Reports or its officers. The information provided above is for informational purposes only and is not a recommendation to buy or sell any security.
4) The article does not constitute investment advice. Each reader is encouraged to consult with his or her individual financial professional and any action a reader takes as a result of information presented here is his or her own responsibility. By opening this page, each reader accepts and agrees to Streetwise Reports' terms of use and full legal disclaimer. This article is not a solicitation for investment. Streetwise Reports does not render general or specific investment advice and the information on Streetwise Reports should not be considered a recommendation to buy or sell any security. Streetwise Reports does not endorse or recommend the business, products, services or securities of any company mentioned on Streetwise Reports.
5) From time to time, Streetwise Reports LLC and its directors, officers, employees or members of their families, as well as persons interviewed for articles and interviews on the site, may have a long or short position in securities mentioned. Directors, officers, employees or members of their immediate families are prohibited from making purchases and/or sales of those securities in the open market or otherwise from the time of the interview or the decision to write an article until three business days after the publication of the interview or article. The foregoing prohibition does not apply to articles that in substance only restate previously published company releases.

Learn More about Which Online Broker is Right for You?

Want to read more about Gold and Silver investment ideas?
Get Our Streetwise Reports Newsletter Free and be the first to know!

A valid email address is required to subscribe