All dollar amounts shown in United States dollars unless otherwise
noted
VANCOUVER, BC, July 28,
2022 /PRNewswire/ - Equinox Gold Corp. (TSX:
EQX) (NYSE American: EQX) ("Equinox Gold" or the "Company") is
pleased to announce it has strengthened its balance sheet and
increased its liquidity by amending its existing credit
facility.
Equinox Gold and its lenders have revised the credit facility
to:
- Increase the maximum amount available under the revolving
facility from $400 million to
$700 million
-
- $300 million drawn at end of Q2
2022, $100 million drawn in
July 2022
- $73 million of carrying value
remaining on the amortizing term loan has been rolled into the
revolving facility, eliminating the need for principal payments
through mid-2026
- Add a $100 million uncommitted
accordion feature
- Reduce pricing for advances by 0.25% - 0.50% depending on
leverage ratios
- Extend the maturity date to July 28,
2026, with the ability to request an additional one-year
extension
Peter Hardie, Chief Financial
Officer of Equinox Gold, commented: "The revised credit facility
increases Equinox Gold's liquidity, reduces our cost of capital and
extends the maturity date of our debt while we focus on building
Greenstone. The increase in readily accessible, lower cost capital
reflects the Company's growth and maturity and provides increased
financial flexibility as we focus on delivering value to our
shareholders in any economic environment. We appreciate the
continuing strong support from our lending syndicate and their
confidence in our long-term strategy."
Amounts drawn are subject to variable interest rates based on
the Secured Overnight Financing Rate (Term SOFR) plus an applicable
margin of 2.25% to 3.50%, based on the Company's total net leverage
ratio.
The restated Credit Agreement will be available on the Company's
profile on SEDAR at www.sedar.com and EDGAR at
www.sec.gov/edgar.
Equinox Gold Contacts
Christian Milau, Chief Executive
Officer
Rhylin Bailie, Vice President,
Investor Relations
Tel: +1 604-558-0560
Email: ir@equinoxgold.com
Cautionary Notes
This news release contains certain forward-looking
information and forward-looking statements within the meaning of
applicable securities legislation. Forward-looking statements and
forward-looking information in this news release relate to, among
other things: the strength of the Company's balance sheet, and the
Company's liquidity and future cash requirements. Forward-looking
statements or information generally identified by words such as
"will", "potential", "provide", "ability", "delivering growth" and
similar expressions and phrases or statements that certain actions,
events or results "will", "may", "could", or "should", or the
negative connotation of such terms, are intended to identify
forward-looking statements and information. Although Equinox Gold
believes that the expectations reflected in such forward-looking
statements and information are reasonable, undue reliance should
not be placed on forward-looking statements since Equinox Gold can
give no assurance that such expectations will prove to be correct.
Equinox Gold has based these forward-looking statements and
information on Equinox Gold's current expectations and projections
about future events and these assumptions include: the strategic
vision for the Company and expectations regarding exploration
potential, production capabilities and future financial or
operational performance; and the Company's ability to successfully
advance its growth and development projects, including the
construction of Greenstone and the expansions at Los Filos, Castle
Mountain and Aurizona. While Equinox Gold considers these
assumptions to be reasonable based on information currently
available, they may prove to be incorrect. Accordingly, readers are
cautioned not to put undue reliance on the forward-looking
statements or information contained in this news release.
Equinox Gold cautions that forward-looking statements and
information involve known and unknown risks, uncertainties and
other factors that may cause actual results and developments to
differ materially from those expressed or implied by such
forward-looking statements and information contained in this news
release and Equinox Gold has made assumptions and estimates based
on or related to many of these factors. Such factors include,
without limitation: Equinox Gold's ability to achieve the
exploration, production, cost and development expectations for its
respective operations and projects; prices for gold remaining as
estimated; currency exchange rates remaining as estimated;
expectations regarding prices for energy inputs, labour, materials,
supplies and services; construction of Greenstone being completed
and performed in accordance with current expectations; expansion
projects at Los Filos, Castle Mountain and Aurizona being completed
and performed in accordance with current expectations; expectations
regarding tonnage of ore to be mined and processed, ore grades and
recoveries; Mineral Reserve and Mineral Resource estimates and the
assumptions on which they are based, no labour-related disruptions
and no unplanned delays or interruptions in scheduled construction,
development and production, including by blockade or industrial
action; all necessary permits, licenses and regulatory approvals
are received in a timely manner; the Company's ability to comply
with environmental, health and safety laws and other regulatory
requirements; the ability of Equinox Gold to work productively with
its joint venture partner and Indigenous partners at Greenstone;
and those factors identified in the section titled "Risks and
Uncertainties" in Equinox Gold's MD&A dated March 23, 2022 for the year ended December 31, 2021, and in the section titled
"Risks Related to the Business" in Equinox Gold's Annual
Information Form dated March 24, 2022
for the year ended December 31, 2021,
both of which are available on SEDAR at www.sedar.com and on EDGAR
at www.sec.gov/edgar. Forward-looking statements and information
are designed to help readers understand management's views as of
that time with respect to future events and speak only as of the
date they are made. Except as required by applicable law, Equinox
Gold assumes no obligation to update or to publicly announce the
results of any change to any forward-looking statement or
information contained or incorporated by reference to reflect
actual results, future events or developments, changes in
assumptions or changes in other factors affecting the
forward-looking statements and information. If Equinox Gold updates
any one or more forward-looking statements, no inference should be
drawn that Equinox Gold will make additional updates with respect
to those or other forward-looking statements. All forward-looking
statements and information contained in this news release are
expressly qualified in their entirety by this cautionary
statement.
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SOURCE Equinox Gold Corp.