SilverCrest refinances $120 million project facility

By Mary-Katherine Stinson

Lexington, Ky., Nov. 29 – SilverCrest Metals Inc. reported it has refinanced its $120 million secured project financing facility replacing it with a new $120 million senior secured credit facility with Bank of Nova Scotia as administrative agent, according to a press release.

The new credit facility includes a $50 million term facility and a $70 million revolving facility.

The three-year term facility matures Nov. 28, 2025 and bears interest at SOFR plus an initial margin of 300 basis points until June 30, 2023. The margin ranges from 250 bps to 375 bps.

Amounts repaid under the term facility may not be reborrowed.

The four-year revolver matures Nov. 27, 2026 and has the same interest rate as the term facility.

The undrawn portion of the revolver will be subject to a standby fee ranging from 56.25 bps to 84.38 bps.

Amounts repaid under the revolving facility may be re-borrowed until the maturity date.

The revolving facility is available to the company subject to customary conditions precedent until Nov. 27, 2026 for general corporate purposes and working capital.

On closing, the term facility was fully drawn, and the company will use $40 million of its cash balance to repay the existing $90 million project financing facility, which was with an affiliate of RK Mine Finance.

On closing of the credit facility and repayment of the project financing facility, the company will have an estimated cash balance of $50 million, total debt of $50 million and an undrawn revolving facility of $70 million.

The metals explorer is based in Vancouver, B.C.

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