To facilitate funding in advance of commercial production, Sprott has issued a $20 million secured note bearing interest at 10% per annum. The interest may be payable by the issuance of common shares, should Cerrado elect to do so.
“We are very pleased to be partnering again with Sprott to fully finance our feasibility study and development works at Monte do Carmo. The facility is a non-dilutive, attractive financing that allows full flexibility to add additional project financing for construction beginning in 2023,” CEO Mark Brennan said in a news release.
Mike Harrison, managing partner of Sprott, added: “Our continued support of Cerrado demonstrates our confidence in management and the quality of their projects. The results of the Monte Do Carmo PEA technical report demonstrate a tier one, high-return, low-cost gold project with excellent exploration potential in a good jurisdiction.”
According to Sprott, this funding…
