Western Metallica Secures Bridge Financing
Western Metallica Resources Corp. (TSXV: WMS) is making strides in its operational capabilities by securing bridge financing of CDN$100,000. This financing is crucial as it will support the company’s ongoing exploration activities at the Luz Maria copper-molybdenum target, part of the esteemed Caña Brava Project.
Details of the Financing Arrangement
The bridge loan, acquired from Gregory Duras, the Chief Executive Officer and a director of Western Metallica, carries an interest rate of 10% per annum. The loan is scheduled for repayment on the earlier of June 30, 2025, or when the company secures an equivalent or higher financing. This flexible repayment structure allows Western Metallica the liberty to repay the loan without any penalty at any time. Furthermore, the loan is unsecured, which mitigates immediate pressure on the company's assets.
Related Party Transactions
This financing is categorized as a related party transaction as outlined in the Multilateral Instrument 61-101, which provides guidelines to protect minority shareholders. Given that the lender is identified as a related party, Western Metallica is leveraging exemptions under this regulation, specifically sections 5.5 and 5.7.
Future Financing Needs
The Company anticipates the need for additional financing to meet various obligations as they arise. This foresight signifies the company’s proactive approach to its financial strategy amid expanding exploration activities.
Issuance of Restricted Share Units (RSUs)
In conjunction with the bridge loan, Western Metallica is also taking steps to strengthen its team through the issuance of 4,550,000 Restricted Share Units (RSUs) to key personnel, including directors and consultants. This grant is structured to vest in thirds over the coming years, encouraging long-term commitment and aligning the interests of the leadership with the company’s growth potential. The RSUs will vest on December 1 of 2025, 2026, and 2027, subject to the approval of the TSX Venture Exchange.
About Western Metallica
Western Metallica, headquartered in Ontario and trading under the symbol WMS on the TSX Venture Exchange, is dedicated to mineral resource exploration and development. The company holds an option to acquire a 100% interest in the Caña Brava copper-molybdenum project, a venture that positions them strategically within the resource market. They are also advancing other promising projects, including the Nueva Celti Copper Property in Spain, enhancing their portfolio further with three gold projects in the Navelgas Gold Belt.
Contact Information
For more inquiries, please reach out to:
Gregory Duras
Chief Executive Officer
Email: gduras@westernmetallica.com
Investor Relations
Email: info@westernmetallica.com
Frequently Asked Questions
What is the purpose of the bridge financing secured by Western Metallica?
The bridge financing is intended to support ongoing exploration activities at the Luz Maria copper-molybdenum target within the Caña Brava Project.
Who is providing the bridge loan to Western Metallica?
The bridge loan is provided by Gregory Duras, the Chief Executive Officer and Director of the company.
What are the terms of the bridge loan?
The loan carries an interest rate of 10% per annum and is due on June 30, 2025, or earlier if equivalent funding is secured.
How many restricted share units (RSUs) were granted?
Western Metallica announced the grant of 4,550,000 RSUs to various officers, directors, and consultants.
What projects are being pursued by Western Metallica?
Western Metallica is advancing the Caña Brava copper-molybdenum project as well as the Nueva Celti Copper Property in Spain, alongside additional gold projects in the region.
