Novagold Touts 'Healthy Treasury' For Pursuing Donlin Project
Novagold Resources Inc. (NYSE American, TSX: NG) says it is in an “excellent financial position” to advanceits Donlin gold project in Alaska, with $166 million in cash on hand. Thecompany secured the major permits needed for theproject in August. Novagold provided an update in a summary of developments forthe third quarter, including the sale of its 50% interest in Galore Creek toNewmont Mining Corp. for up to $275 million. Novagold already received $100 million in July and isscheduled to receive an additional $75 million no later than July 27, 2021 andanother $25 million by July 27, 2023. If Newmont proceeds with construction,Novagold would receive an additional $75 million, officials say. “At the end of the third quarter, Novagold had a veryhealthy treasury of $166 million in cash and term deposits,” says Gregory A.Lang, president and chief executive officer. “With an additional $100 millionwe expect to receive from Newmont in the next five years, the company shouldnot require any new funding before making a construction decision for DonlinGold.”
By Allen Sykoraof Kitco News; asykora@kitco.com
Torex Reports Record Quarterly Output, Targets Upper End Of Guidance
Wednesday October 3, 2018 08:25
Torex Gold Resources Inc. (TSX: TXG) reports record production in thethird quarter of 101,400 gold ounces, with revenue of $126.3 million, from its ELG Mine Complex in Mexico. “The upper end of gold-productionguidance is within reach and we all look forward to continuing the trend ofaccelerating performance,” says Fred Stanford, president and chief executiveofficer.
By Allen Sykoraof Kitco News; asykora@kitco.com
B2Gold Repays Convertible Notes, ContinuesWith Debt Reduction
Wednesday October 3, 2018 08:25
B2Gold Corp. (TSX: BTO,NYSE AMERICAN: BTG, NSX: B2G)says it has repaid the $259 million of convertible senior subordinated notesthat were issued in 2013 and matured on Oct. 1. With accrued interest, thetotal amounted to some $263 million, which B2Gold funded using existing cash onhand and a portion of its $500 million revolving credit facility, the companysays. After repayment, the company had an outstanding balance of $400 millionunder the credit facility plus a remaining undrawn capacity of $100 million.B2Gold says the repayment is part of a strategy to fund construction of theFekola Mine in Mali without using equity financing. Since commercial productionat Fekola in late 2017, the company has been reducing its outstanding debtthroughout the course of 2018, B2Gold says. The company says it began 2018 withoutstanding debt of approximately $700 million and expects to reduce it to $500million by year-end, and then scale it back further in 2019.
By Allen SykoraFor Kitco News
Follow @AllenSykora
asykora@kitco.com Disclaimer: The views expressed in this article are those of the author and may not reflect those of Kitco Metals Inc. The author has made every effort to ensure accuracy of information provided; however, neither Kitco Metals Inc. nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in commodities, securities or other financial instruments. Kitco Metals Inc. and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.