LeadFX Inc. (TSX: LFX) has secured a US $2 million unsecured, interest-free loan from Sentient Global Resource Fund IV, LP to help meet its working capital needs.
Sentient Group of Global Resource Funds owned 85.1% of LeadFX shares as of April 27, 2106.
Sentient has advanced LeadFX $2 million pursuant to an unsecured, interest-free, promissory note, repayable on June 30, 2017 and on the same terms as the prior promissory notes issued to Sentient.
The interest-free advance by Sentient will enable the Paroo Station Mine to remain in a restart-ready state while LeadFX works through an appropriate financing solution.
“We have made significant progress in the past several months with the positive changes to Paroo Station’s key operating conditions and we continue to build on that positive momentum. The additional $2M Note from our supportive majority shareholder provides a significant boost to the Company’s working capital position and affords additional time to develop a restart strategy that meets the needs of all our stakeholders,” said Rob Scargill, President & CEO of LeadFX.
LeadFX is a Canadian-based mining company focused on the development of lead-silver projects. Its current portfolio includes a restart-ready lead operation in Western Australia and exploration and development projects in Alaska and Utah.
photo credit: LeadFX