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Pembridge Resources on Friday said it received the last part of the third instalment payment from Minto Metals, relating to a C$4 million loan to Minto during 2019 and 2020.
The mining company with a strategic investment in the Minto copper and gold mine in Yukon Territory, Canada said it received the remaining C$250,000 of the third instalment from Minto in December.
It also agreed a revised schedule with Minto for the remaining payments due.
Pembridge Resources lent a total of C$4 million to Minto to fund its surety account during 2019 and 2020, carrying an 8% interest rate.
It was due to be repaid in full via quarterly instalments each of C$1 million during 2022, with the final interest payment in early 2023.
The third instalment was due originally at the end of September, before being paid in December, after both parties agreed in October to partly defer payment to aid Minto in funding increased reclamation security payments.
The first two instalments were repaid in March and June 2022.
Both parties have now agreed to spread the fourth instalment of C$1 million over the first half of 2023, with payments of C$500,000 due on March 31 and June 30.
Pembridge Resources said this was to continue its support to Minto in funding its reclamation security payments.
Under the agreement, payment of the interest accumulated is now due at the end of September 2023.
‘We recognise that Minto has an important obligation in respect of reclamation security and have agreed this deferment to assist Minto with this. We remain confident in Minto’s prospects,’ said Pembridge Chair & Chief Executive Officer Gati Al-Jebouri.
Shares in Pembridge Resources were down 9.8% to 1.62 pence each in London on Friday morning.
By Greg Rosenvinge, Alliance News reporter
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