Royal Helium Announces the Steveville Helium Plant is Fully Funded with the Execution of Binding Commitment Letters for $17.5 Million in Credit Facilities and the Release from Escrow of the Convertible Debentures
Summary
SASKATOON, SK, Feb. 6, 2023 /CNW/ - Royal Helium Ltd. (TSXV: RHC) (TSXV: RHC.WT) (OTCQB: RHCCF) ("Royal" or the "Company") is pleased to announce that binding commitment letters have been received and signed with the Business Development Bank of Canada ("BDC") and Canadian Western Bank ("CWB") acting pari passu for a non-revolving credit facility ("Credit Facility") in the amount of CAD $15 million (see news release December 21, 2022). The Company expects the release of funds from escrow and issuance of convertible debentures and warrants on or about February 10.President and CEO Andrew Davidson states, "Securing debt facilities with two leading banking institutions in Canada is a significant milestone in the completion of our first helium production plant. With stable, rising prices and limited, non-renewable sources for helium worldwide, Royal intends to become a leading North American producer of this high value commodity. Helium extracted from wells in Saskatchewan and Alberta can be up to 99% less carbon intensive than helium extraction processes in other jurisdictions.Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this news release.This news release includes certain statements that may be deemed to be "forward-looking statements". These forward-looking statements are subject to numerous risks and uncertainties, certain of which are beyond the Companys control, including without limitation, risks associated with oil and gas exploration, development, exploitation, production, marketing and transportation, loss of markets, volatility of commodity prices, volatility in production rates, environmental risks, inability to obtain drilling rigs or other services, capital expenditure costs, including drilling, completion and facility costs, unexpected decline rates in wells, wells not performing as expected, delays resulting from or inability to obtain required third party and regulatory approvals, ability to access sufficient capital from internal and external sources, inability to access gas transportation and processing infrastructure, the impact of general economic conditions in Canada, the United States and overseas, industry conditions, changes in laws and regulations (including the adoption of new environmental laws and regulations) and changes in how they are interpreted and enforced, increased competition, the lack of availability of qualified personnel or management, fluctuations in foreign exchange or interest rates, and the uncertainty of estimates and projections of production, costs and expenses.