Bluestone Resources Inc.(TSXV:BSR) (OTCQB:BBSRF) has established a US$30 million loan with Zebra Holdings and Investments S.à.r.l, and Lorito Holdings S.à.r.l.
The Loan will provide for the drawdown of funds by the company in tranches of not less than US$1 million Proceeds will be primarily used for general corporate purposes and to advance the Cerro Blanco gold project in Guatemala through engineering and permit approval.
“We are pleased to have the support from the Lundin Family as we advance the Cerro Blanco Project through engineering and design and invest in local project readiness initiatives,” CFO, Peter Hemstead, said.
“The Cerro Blanco Project will generate significant benefits to Guatemala and our stakeholders over the life of mine, and the Loan shows the commitment from the Lundin Group to develop the Project in a socially and environmentally responsible manner. The bridge loan will also provide us with the ability to advance and optimise a comprehensive financing package for the construction of the project.”
In consideration for the Loan, the Company has issued 150,000 common shares of the Company and will issue an additional 4,000 common shares per month (pro-rated for partial months) for each US$1,000,000 of the principal amount outstanding under the Loan from time to time up to March 11, 2023.
The company’s flagship Blanco Gold Project is a near surface mine development project located in Southern Guatemala in the department of Jutiapa. The company released the results of a Feasibility Study for the Project, outlining an asset capable of producing over 300 koz/yr at head grades of +2.0 g/t gold. The Project will produce 2.6 million ounces of gold over the life of mine at an all-in sustaining cost of $629/oz over an initial 14-year mine life.
For further information please visit: https://bluestoneresources.ca/
