On February 16, 2023 Signal Gold Inc. announced that it had entered into a credit agreement with Nebari Gold Fund 1 LP, Nebari Natural Resources Credit Fund I LP, and Nebari Natural Resources Credit Fund II LP providing for up to US$21 million of financing. On February 27, 2023 Signal Gold received the initial drawdown of US$16 million under the credit facility. The credit facility provides for a second tranche of US$5 million, subject to satisfaction of certain conditions precedent. The credit facility has a maturity date of two years from the initial draw with the option to extend up to another 12 months.
Signal Gold will use the net proceeds from the credit facility to progress critical pre-development activities for the Goldboro Project in Nova Scotia.
Cassels acted for Signal Gold.