Nautilus Minerals continues to arrange bridge loans from Deep Sea Mining Finance, which are expected to form part of a larger secured structured credit facility of up to $34 million to be provided by the lender to the company.
To date the company has received bridge loans from the Deep Sea Mining Finance totaling $6,650,000.
In conjunction with the most recent advance of $1,900,000, the Nautilus has issued to the lender an additional 8,161,512 warrants of the company, for a total of 28,565,291 share purchase warrants issued to the lender to date. Each warrant entitles the lender to purchase one common share of the company at a price of C$0.17 for a period of five years from the date of issuance of the warrant.
The bridge loans will assist Nautilus’ immediate working capital requirements and facilitate payments required to continue the development of its seafloor production system to be first utilized at the Solwara 1 project. The loans bear interest at 8% per annum, payable bi-annually in arrears with a one year maturity date.
As previously disclosed, the lender is a private company owned 50% by USM Finance and Mawarid Offshore Mining.