PPU instructed on mining finance in Colombia
Philippi, Prietocarrizosa, Ferrero DU & Uría assisted gold miner Continental Gold in securing a $250 million credit facility.
The facility will be used for the development, construction and working capital requirements for the company’s Buriticá gold mine in Antioquia, Colombia. The deal will secure the financing of a large scale gold mining project in Colombia, a rare development in a country where gold mining is small-scale and informal.
Continental Gold is an advanced-stage exploration and development company listed in the Toronto Stock Exchange. The company was formed in 2007 and currently holds an extensive portfolio of 100%-owned gold projects in Colombia.
According to media reports, the credit facility was provided by RK Mine Finance, a division of Red Kite, which is based in Bermuda and provides bespoke financing solutions to precious metals mining companies.
Partners Juan Fernando Gaviria and Carolina Rozo led the PPU team advising Continental Gold. The mining company also instructed regular Canadian counsel Cassels Brock & Blackwell and, separately, Taylors as counsel in Bermuda.
The lenders retained Conyers Dill & Pearman in Bermuda and Norton Rose Fulbright in Canada and Colombia.