Canadian Mining Journal

News

DIAMONDS: Stornoway secures $944M for Renard completion

QUEBEC – Stornoway Diamond Corp. of Montreal has struck a multi-player deal for $944 million with which to complete development of its Renard diamond mine (the province's first) 350 km north of Chibougamau. Taking part in the financing...



QUEBEC – Stornoway Diamond Corp. of Montreal has struck a multi-player deal for $944 million with which to complete development of its Renard diamond mine (the province’s first) 350 km north of Chibougamau. Taking part in the financing are the Orion Mines Finance Group ($220 million), the government of Quebec by way of Ressources Quebec ($220 million), and the Caisse de depot et placement du Quebec (CDPQ) ($105 million).

The deal is complex, involving both public and private share offerings, a diamond streaming agreement with Orion and CDPQ, a senior secured loan, an unsecured convertible loan, and cost overrun facilities.

Readers are directed to StornowayDiamonds.com and the April 9, 2014 news release for details.