Mon, Jan 26, 2015, 10:26 PM EST - U.S. Markets closed

Recent

% | $
Quotes you view appear here for quick access.

Great Basin Gold Ltd. Message Board

  • dukejimbo dukejimbo Sep 20, 2012 10:41 PM Flag

    JMLGUY LOST HIS 'A ON THIS STOCK

    BWAHHHH!!!!!!!!

    SortNewest  |  Oldest  |  Most Replied Expand all replies
    • Great Basin Gold to Obtain $35 Million Loan Consequent upon CCAA Court Order
      10 hours 26 minutes ago - CNW Group via Comtex

      Great Basin Gold Ltd. ("Great Basin Gold"), (TSX: GBG; NYSE MKT: GBG; JSE: GBG) announces that it has agreed to a comprehensive term sheet from its existing bank lenders for a $35 million working capital loan which was approved as a debtor-in-possession ("DIP") loan by order of the British Columbia Supreme Court pursuant to a Companies Creditors Arrangement Act ("CCAA") filing made on September 19(th), 2012 (Vancouver Registry 126583) . The DIP Loan will be a post-commencement financing under the previously announced business rescue ("BR") provisions of the South African Companies Act which were commenced September 14, 2012. CCAA is a Canadian insolvency statute which will allow the Company a period of time to seek buyers and partners for its two gold mining projects and/or corporate level financiers in an effort to return Great Basin Gold to solvency.

      The DIP Loan has a term of 6 months, extendable for up to 3 months, and is subject to certain fees, interest and costs. It contemplates that the Company will dispose or sell down its interest in its two gold projects or otherwise refinance or recapitalize over certain periods within the term of the DIP Loan. The DIP loan will be subject to a super-priority lien on the assets of Great Basin Gold, and will also have the benefit of liens and claims over the assets of its Nevada and South African subsidiaries. As part of their security package for the DIP loan, the DIP lenders will also receive from Great Basin Gold's U.S. holding company a guarantee of the obligations of its South African subsidiaries' obligations under an existing South African credit facility. The DIP Loan has received lenders' credit committee approval and it is now principally subject to negotiation and execution of definitive documentation and other customary closing conditions. The DIP Loan proceeds will be used, subject to the concurrence of a business rescue practitioner in South Africa and KPMG LLP, the CCAA-appointed monitor in Canada, to affect an orderly suspension of operations at Burnstone, ongoing care and maintenance of Burnstone assets, and for working capital at Hollister. Hollister is expected to continue profitably producing gold at the rate of 6,000-7,000 ounces per month for the foreseeable future and no insolvency filings are currently expected for the Nevada operations.

      Lou van Vuuren, interim CEO, commented on the recent developments, "We believe the DIP loan will be in the best interest of our workforce and other key stakeholders, as its proceeds will be use to ensure the proper treatment of our Burnstone employees and the responsible care and maintenance of this valuable project while Hollister operations will be enhanced by some additional working capital. We are confident that given the industry interest we are seeing in these two assets we will see one or more realization or recapitalization transactions complete within the term of the DIP Loan."

      Lou van Vuuren CEO (interim)

      Cautionary and Forward Looking Statement Information

      This document contains "forward-looking statements" that were based on Great Basin's expectations, estimates and projections as of the dates as of which those statements were made. Generally, these forward-looking statements can be identified by the use of forward-looking terminology such as "outlook", "anticipate", "project", "target", "believe", "estimate", "expect", "intend", "should" and similar expressions. Forward-looking statements are subject to known and unknown risks, uncertainties and other factors that may cause the Company's actual results, level of activity, performance or achievements to be materially different from those expressed or implied by such forward-looking statements. These include but are not limited to:
      -- uncertainties related to the Company's liquidity challenges and
      need for near term financing
      -- uncertainties related to project realization values
      -- uncertainties and costs related to the Company's exploration
      and development activities, such as those associated with
      determining whether mineral resources or reserves exist on a
      property;
      -- uncertainties related to feasibility studies that provide
      estimates of expected or anticipated costs, expenditures and
      economic returns from a mining project; uncertainties related
      to expected production rates, timing of production and the cash
      and total costs of production and milling;
      -- uncertainties related to the ability to obtain necessary
      licenses, permits, electricity, surface rights and title for
      development projects;
      -- operating and technical difficulties in connection with mining
      development activities;
      -- uncertainties related to the accuracy of our mineral reserve
      and mineral resource estimates and our estimates of future
      production and future cash and total costs of production, and
      the geotechnical or hydrogeological nature of ore deposits, and
      diminishing quantities or grades of mineral reserves;
      -- uncertainties related to unexpected judicial or regulatory
      proceedings;
      -- changes in, and the effects of, the laws, regulations and
      government policies affecting our mining operations,
      particularly laws, regulations and policies relating to
      o mine expansions, environmental protection and associated compliance
      costs arising from exploration, mine development, mine operations
      and mine closures;
      o expected effective future tax rates in jurisdictions in which our
      operations are located;
      o the protection of the health and safety of mine workers; and
      o mineral rights ownership in countries where our mineral deposits
      are located, including the effect of the Mineral and Petroleum
      Resources Development Act (South Africa);
      -- changes in general economic conditions, the financial markets
      and in the demand and market price for gold, silver and other
      minerals and commodities, such as diesel fuel, coal, petroleum
      coke, steel, concrete, electricity and other forms of energy,
      mining equipment, and fluctuations in exchange rates,
      particularly with respect to the value of the U.S. dollar,
      Canadian dollar and South African rand;
      -- unusual or unexpected formation, cave-ins, flooding, pressures,
      and precious metals losses (and the risk of inadequate
      insurance or inability to obtain insurance to cover these
      risks);
      -- changes in accounting policies and methods we use to report our
      financial condition, including uncertainties associated with
      critical accounting assumptions and estimates;
      -- environmental issues and liabilities associated with mining
      including processing and stock piling ore;
      -- geopolitical uncertainty and political and economic instability
      in countries which we operate; and
      -- labour strikes, work stoppages, or other interruptions to, or
      difficulties in, the employment of labour in markets in which
      we operate mines, or environmental hazards, industrial
      accidents or other events or occurrences, including third party
      interference that interrupt the production of minerals in our
      mines.
      -- There is currently no certainty that Southgold Exploration
      (Pty) Ltd will successfully emerge from business rescue
      proceedings and thereby prevent liquidation.

      Sentiment: Hold

    • Oh, is that the "Bwaaaaaahhhh!! Bwaaaaahh!!" guy that's been dumping on the longs for awhile now? If so, he deserves what he's got coming to him! What a jerk!

      Sentiment: Hold

 
GBGLF
0.0012-0.0002(-14.29%)Jan 26 3:17 PMEST

Trending Tickers

i
Trending Tickers features significant U.S. stocks showing the most dramatic increase in user interest in Yahoo Finance in the previous hour over historic norms. The list is limited to those equities which trade at least 100,000 shares on an average day and have a market cap of more than $300 million.