Mining & Metals
Mountain Province Diamonds Extends Maturity on Credit Facility, Books Higher Q1 Production YoY
Mountain Province Diamonds (MPVD.TO) has extended the maturity date on its term loan and the principal repayment date under a working capital facility, the company said Friday.Under a fourth amending agreement with Dunebridge Worldwide, the maturity date on the US$40 million term loan facility and the date for repayment of the principal amount of the US$33 million working capital facility was moved to June 30 from April 30.Mountain Province has also sold US$999,999 of proceeds from the sale of its share of diamonds from the Gahcho Kue mine in the Northwest Territories for US$833,000.The funds will provide Mountain Province with the operating capital needed to continue operations in the near term as it reviews strategic alternatives.Separately, Mountain Province reported overnight Thursday a year-over-year increase in diamond production for the first quarter.The company recovered 2.0 million carats of diamond, up 163% from 762,978 carats produced a year ago.Sales in the first quarter totaled 858,173 carats valued at C$40 million for an average of C$47 per carat. In the year-ago period, the company recorded sales of 426,268 carats for C$44 million, averaging C$103 per carat."The diamond market continues to be adversely affected by geopolitical uncertainty, including concerns surrounding US tariffs and the ongoing conflict in the Middle East," President and Chief Executive Officer Jonathan Comerford said."As previously reported, we continue to engage constructively with all stakeholders to navigate this particularly challenging period for the market, which is currently overshadowing a very strong operational performance in terms of carats recovered," Comerford said.Meanwhile, Jeff Swinoga stepped down from the board due to his involvement in several other board positions.
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