CENTENNIAL, Colo., Dec. 14, 2020 /PRNewsCentre/ — NioCorp Developments Ltd. ("NioCorp" or the "Company") (TSX: NB;OTCQX: NIOBF) is pleased to announce agreements with NioCorp CEO and Executive Chairman, Mark A. Smith, to extend the maturity date of its existing $3.5 million non-revolving credit facility with Mr. Smith and a separate $1 million loan from Mr. Smith to December 15, 2021.
Funds drawn on the credit facility will assist the Company in continuing its work to secure project financing for the Elk Creek Project (the "Project") and move the Project to a construction start once project financing is secured.
The agreements to extend the credit facility and Mr. Smith’s 2015 loan are subject to Toronto Stock Exchange approval and are "related party transactions" under Multilateral Instrument 61-101 Protection of Minority Security Holders in Special Transactions ("MI 61-101"). Because the value of each of the credit facility and Mr. Smith’s 2015 loan is less than 25% of NioCorp’s market capitalization, the agreements to extend the credit facility and Mr. Smith’s 2015 loan are exempt from the formal valuation and minority shareholder approval requirements of MI 61-101.
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For More Information
Contact Jim Sims, VP of External Affairs, NioCorp Developments Ltd., 720-639-4650, firstname.lastname@example.org
NioCorp is developing a superalloy materials project in Southeast Nebraska that will produce Niobium, Scandium, and Titanium. Niobium is used to produce superalloys as well as High Strength, Low Alloy ("HSLA") steel, which is a lighter, stronger steel used in automotive, structural, and pipeline applications. Scandium is a superalloy material that can be combined with Aluminum to make alloys with increased strength and improved corrosion resistance. Scandium also is a critical component of advanced solid oxide fuel cells. Titanium is used in various superalloys and is a key component of pigments used in paper, paint and plastics and is also used for aerospace applications, armor and medical implants.
Cautionary Note Regarding Forward-Looking Statements
Certain statements contained in this document may constitute forward-looking statements, including statements regarding the Company’s ability to secure project financing for the Elk Creek Project and move the project to a construction start if and when financing is secured. Readers are cautioned that such forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause a change in such assumptions and the actual outcomes and estimates to be materially different from those estimated or anticipated future results, achievements or position expressed or implied by those forward-looking statements. Risks, uncertainties and other factors that could cause NioCorp’s plans or prospects to change include risks related to the Company’s ability to operate as a going concern; risks related to the Company’s requirement of significant additional capital; changes in demand for and price of commodities (such as fuel and electricity) and currencies; changes in economic valuations of the Project, such as Net Present Value calculations, changes or disruptions in the securities markets; legislative, political or economic developments; the need to obtain permits and comply with laws and regulations and other regulatory requirements; the possibility that actual results of work may differ from projections/expectations or may not realize the perceived potential of NioCorp’s projects; risks of accidents, equipment breakdowns and labor disputes or other unanticipated difficulties or interruptions; the possibility of cost overruns or unanticipated expenses in development programs; operating or technical difficulties in connection with exploration, mining or development activities; the speculative nature of mineral exploration and development, including the risks of diminishing quantities of grades of reserves and resources; and the risks involved in the exploration, development and mining business and the risks set forth in the Company’s filings with Canadian securities regulators at www.sedar.com and the SEC at www.sec.gov. NioCorp disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise.
SOURCE: NioCorp Developments Ltd.