"Heidy Murillo Quesada"
Interesting that they should characterize a national mobilization as
"a local activist"...
Infinito Wades Through Costa Rican Legal Battle
It pays to have investors that believe in your cause.
Infinito Gold (IG-V, IGFFF-O) has announced that its bondholders have
again agreed to waive default rights on their notes in connection
with the company being unable to make interest payments.
If only all companies had such understanding creditors. But in
Infinito's case, the note-holders are also the largest investors in
the company and clearly have its long-term success foremost in their
Towards that end, they have granted the company another month-long
extension -- the fourth consecutive reprieve -- to give Infinito a
chance to get its Crucitas gold mine, in Costa Rica, up and running.
The would-be mine was put on the bricks last year just before shovels
were set to begin digging the open pit. The deposit at Crucitas hosts
an indicated resource of 1.2 million oz. gold from rock with an
average grade of 1.32 grams gold.
A quirk in the Costa Rican legal system allows any complaint to be
brought before the Supreme Court, so a local activist who has long
been a thorn in Infinito's side was able to easily take his claim
against the company before the country's highest court.
Since that time, the company has anxiously awaited a verdict.
Firstly, the court is considering the activist's complaint that the
president of Costa Rica, Oscar Arias, had no right to grant Infinito
a mining permit in the first place. If the court rules that the
president was within his rights, then Infinito is likely to win a
second ruling that would pave the way for it to start construction,
with no further interruptions.
Infinito has $50.5 million in secured convertible notes that are held
by its largest investors, Exploram Enterprises and Auro Investments.
Combined and on a fully diluted basis, the two companies hold roughly
90% of Infinito's shares.
Exploram, which is Infinito's largest shareholder, is controlled by
Calgary-based billionaire Ron Mannix, who has been a long-time
investor in the project. Auro is a company associated with Steven
Dean, Infinito's chairman.
Infinito is only able to draw down from its project debt financing --
which it will use to make interest payments on its notes -- once it
is allowed to restart construction at Crucitas.
End corporate impunity - legislate now! Support Bill C-300!
Communications & Outreach Coordinator
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11 de setiembre, los colores patrios se tornan verdes... Podemos vivir sin oro pero no sin agua... FUERA DE CRUCITAS