VANCOUVER, Nov. 30, 2018 /CNW/ - Avino Silver & Gold Mines Ltd. (ASM:
TSX/NYSE American, GV6: FSE, "Avino" or "the Company") is pleased
to announce that the concentrates prepayment agreement with Samsung
C&T U.K. Ltd. ("Samsung") originally announced on July 9, 2015, as amended, has been further
extended for repayment of the balance of the principal amount of
US$6,666,670 to Samsung over a two
year period starting October 2019, in
return for exclusive concentrate deliveries.
Pursuant to a new amending agreement (the "Amendment"), Avino
will sell concentrates on an exclusive basis to Samsung until
December 2024. Samsung has previously advanced to Avino a
term facility in the sum of US$10
million for such concentrates, of which Avino has repaid
US$3,333,330 for a net amount owing
of US$6,666,670 (the "Facility"), and
the Facility will be repaid with interest from Avino's future
shipments of concentrates. There will be a 12-month deferral
period from October 2018 through and
including September 2019, during
which there are no repayments of principal. Avino will then
repay the balance with interest by 23 equal monthly instalments of
US$277,777, commencing October 2019 and ending August 2021, followed by a single and final
payment of $277,799 in September
2021. Interest on the Facility is payable monthly at LIBOR
plus 6.75% during the first 12-month deferral period. Other
material terms of the Facility remain unchanged. The Company
is pleased to take advantage of this extension of the concentrate
sales agreement and revised repayment arrangement with Samsung, as
this ensures a steady long-term contract for the sale of the
Company's concentrates, and will provide capital to Avino to
further advance and expand its projects over the next 12
months.
"We are very pleased to have worked with Samsung C&T since
July, 2015" said David Wolfin,
President and CEO. "Extending the original contract shows
that the relationship is beneficial to both parties. We are pleased
that Samsung C&T, one of the world's most recognizable
companies views Avino as a trusted partner, and we thank them for
their ongoing support."
The Company's payment of all amounts owing to Samsung is secured
by a pledge to Samsung of all of Avino's common shares in Bralorne
Gold Mines Ltd. as collateral. Bralorne Gold Mines Ltd. owns
the Bralorne property located near Gold
Bridge, B.C.
About Avino
Avino is a silver and gold producer with
a diversified pipeline of gold, silver and base metals properties
in Mexico and Canada employing approximately 500 people.
Avino produces from its wholly owned Avino and San Gonzalo Mines
near Durango, Mexico, and is
currently evaluating the potential economics of possible future
production at the Bralorne Gold Mine in British Columbia, Canada. The Company's gold
and silver production remains unhedged. The Company's mission and
strategy is to create shareholder value through its focus on
profitable organic growth at the historic Avino Property near
Durango, Mexico, and the strategic
acquisition of mineral exploration and mining properties. We are
committed to managing all business activities in an environmentally
responsible and cost-effective manner, while contributing to the
well-being of the communities in which we
operate.
ON BEHALF OF THE BOARD
"David Wolfin"
________________________________
David Wolfin
President & CEO
Avino Silver & Gold Mines
Ltd.
Safe Harbor Statement - This news release contains
"forward-looking information" and "forward-looking statements"
(together, the "forward looking statements") within the meaning of
applicable securities laws and the United States Private Securities
Litigation Reform Act of 1995. These forward-looking
statements are made as of the date of this news release and the
dates of technical reports, as applicable. Readers are cautioned
not to place undue reliance on forward-looking statements, as there
can be no assurance that the future circumstances, outcomes or
results anticipated in or implied by such forward-looking
statements will occur or that plans, intentions or expectations
upon which the forward-looking statements are based will occur.
While we have based these forward-looking statements on our
expectations about future events as at the date that such
statements were prepared, the statements are not a guarantee that
such future events will occur and are subject to risks,
uncertainties, assumptions and other factors which could cause
events or outcomes to differ materially from those expressed or
implied by such forward-looking statements.
Such factors and assumptions include, among others, the effects
of general economic conditions, the price of gold, silver and
copper, changing foreign exchange rates and actions by government
authorities, uncertainties associated with legal proceedings and
negotiations and misjudgments in the course of preparing
forward-looking information. In addition, there are known and
unknown risk factors which could cause our actual results,
performance or achievements to differ materially from any future
results, performance or achievements expressed or implied by the
forward-looking statements. Known risk factors include risks
associated with project development; the need for additional
financing; operational risks associated with mining and mineral
processing; fluctuations in metal prices; title matters;
uncertainties and risks related to carrying on business in foreign
countries; environmental liability claims and insurance; reliance
on key personnel; the potential for conflicts of interest among
certain of our officers, directors or promoters with certain other
projects; the absence of dividends; currency fluctuations;
competition; dilution; the volatility of the our common share price
and volume; tax consequences to U.S. investors; and other risks and
uncertainties. Although we have attempted to identify important
factors that could cause actual actions, events or results to
differ materially from those described in forward-looking
statements, there may be other factors that cause actions, events
or results not to be as anticipated, estimated or intended. There
can be no assurance that forward-looking statements will prove to
be accurate, as actual results and future events could differ
materially from those anticipated in such statements. Accordingly,
readers should not place undue reliance on forward-looking
statements. We are under no obligation to update or alter any
forward-looking statements except as required under applicable
securities laws.
Neither the TSX nor its Regulation Services Provider (as that
term is defined in the policies of the TSX) accepts responsibility
for the adequacy or accuracy of this release.
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SOURCE Avino Silver & Gold
Mines Ltd.