White Tiger Gold Obtains Revolving Credit Facilities for Up to C$23.8 Million
Wednesday, March 02, 2011
ROAD TOWN, TORTOLA, BRITISH VIRGIN ISLANDS--(Marketwire - March 2, 2011) - White Tiger Gold Ltd. (TSX:WTG) ("White Tiger Gold" or the "Company") is pleased to announce that its two indirect, wholly-owned Russian subsidiaries, Ildikangold and Dalsvetmet, which hold, respectively, the Company's Savkino and Nasedkino projects, have entered into revolving credit facility agreements with OJSC JSCB (INTERNATIONAL FINANCIAL CLUB) ("IFC-Bank") for up to an aggregate of 700,000,000 Rubles (approximately C$23.8 million) to provide further funding for the expansion of gold production at the Company's Savkino mine and for the design stage for the Company's Nasedkino project.
The principal terms of the two credit facilities are as follows:
Ildikangold: Revolving credit facility of up to 450,000,000 Rubles (approximately C$15.3 million); Repayment date: December 24, 2012; Interest rate: 12% per annum, payable quarterly. Security for the Ildikangold credit facility includes a guarantee of Dalsvetmet and a pledge by the Company's wholly-owned subsidiary, Diascia Investments Limited ("Diascia"), of its 100% participatory interest in Ildikangold.
Dalsvetmet: Revolving credit facility of up to 250,000,000 Rubles (approximately C$8.5 million); Repayment date: December 24, 2012; Interest rate: 12% per annum, payable quarterly. Security for the Dalsvetmet credit facility includes a guarantee of Ildikangold and a pledge by Diascia of its 100% participatory interest in Ildikangold.
Dr. Geoffrey Cowley, the Chief Executive Officer and a director of the Company, comments: "On behalf of the board of directors of the Company, I am pleased that we have consummated these new facilities with IFC-Bank, which will provide additional funding for the development of our two main assets in Russia – Savkino and Nasedkino."
About White Tiger Gold
White Tiger Gold is a gold mining and exploration company with its assets based in eastern Russia. The common shares of White Tiger Gold are listed and posted for trading on the Toronto Stock Exchange (TSX) under the symbol "WTG".
