Key points
- Nautilus and Deep Sea Mining Finance Ltd. agreed to extend the maturity date of their secured loan facility from Jan. 8, 2019 to Feb. 8, 2019.
- Nautilus is in discussions with an arm’s-length party to secure a $5-million (U.S.) loan and must obtain it, or other financing, by Jan. 14, 2019 to continue operations.
- Nautilus continues to negotiate with arm’s-length third parties on a new joint venture, the Vessel JV, to be owned by those parties and Nautilus’s subsidiary Nautilus Minerals Niugini Ltd.
- Nautilus holds the first mining lease for polymetallic seafloor massive sulphide deposits at Solwara 1 in Papua New Guinea and has received its environmental permit for the site.
NAUTILUS PROVIDES CORPORATE UPDATE
Nautilus Minerals Inc. has provided the following corporate update.
Nautilus and Deep Sea Mining Finance Ltd. have agreed to extend the maturity date of the existing secured loan facility, which is currently due on Jan. 8, 2019, for 30 days ending on Feb. 8, 2019.
Nautilus is currently in discussions with an arm’s-length party to secure a $5-million (U.S.) loan. Nautilus must receive the loan, or another source of financing, on or before Jan. 14, 2019, in order for the Nautilus group of companies to continue operations. There can be no assurances that the company will receive the necessary financing by that date.
In the interim, and further to the company’s news release dated Dec. 2, 2018, Nautilus continues to negotiate with arm’s-length third parties to create a new joint venture company as well as related transactions to provide a long-term financing solution. The Vessel JV would be owned by the third parties and Nautilus’s subsidiary Nautilus Minerals Niugini Ltd.
There can be no assurances that the company will be able to successfully negotiate definitive agreements in relation to, and complete, any of the transactions discussed above. Any transactions will be subject to all necessary stock exchange, third party and government approvals, as well as compliance with all other regulatory requirements.
The company will provide further updates as circumstances warrant.
About Nautilus Minerals Inc.
Nautilus is the first company to explore the ocean floor for polymetallic seafloor massive sulphide deposits. Nautilus was granted the first mining lease for such deposits at the prospect known as Solwara 1, in the territorial waters of Papua New Guinea, where it is aiming to produce copper, gold and silver. The company has also been granted its environmental permit for this site.
