Pershing Gold Corp fka PGLC

[Disciplinedinvestor]

Pershing Gold Corporation (NASDAQ: PGLC / TSX: PGLC) ("Pershing Gold" or the "Company"), the emerging Nevada gold producer, today announced that it has entered into a non-binding term sheet with Sprott Resource Lending ("Sprott") to provide a credit facility with a principal amount of up to $20 million (the "Facility").

The Company's ability to draw down on the Facility is subject to the negotiation and execution of definitive agreements, completion by Sprott of its due diligence review and the satisfaction of other customary closing conditions. The Facility, when completed, would be available for up to three draws occurring during a period of five months following the closing date. As a condition to any such draw, the Company would be required to raise equity financing not less than the amount drawn. Amounts drawn under the Facility would be secured by a lien on the Relief Canyon mine and processing facilities and would bear interest at 9.0% per annum. Amounts drawn would mature three years following the date drawn, with monthly principal payments commencing on the earlier of June 30, 2018 or upon achievement of commercial production at the Relief Canyon Mine.

The proceeds of the Facility would be used to advance the Relief Canyon project towards production. There is no assurance that definitive agreements with respect to the Facility will be completed or that any amount will be drawn under the Facility.
http://www.prnewswire.com/news-releases/pershing-gold-signs-non-binding-commitment-for-20-million-credit-facility-300371713.html