VANCOUVER, BRITISH COLUMBIA–(Marketwired – Nov. 17, 2015) – Starcore International Mines Ltd. (TSX:SAM) (“Starcore” or the “Company”) has completed a private placement of secured bonds in the aggregate principal amount of CDN$4.5 million (the “Bonds”). The Bonds bear interest of 8% per annum, payable on maturity, and mature November 12, 2016. The Bonds will be secured by a charge over all of the Company’s assets that ranks pari passu with the existing debt obligations of the Company. The Company has agreed that it will not incur any additional debt obligations without first obtaining the consent of the holders of the Bonds, and will set aside any proceeds received from asset sales in excess of $250,000 towards repayment of the Bonds.
The proceeds from the sale of the Bonds will be used primarily for the purchase of concentrates for treatment at the Altiplano processing plant in Matehuala, Mexico owned by Starcore’s wholly-owned subsidiary, Cortez Gold Corp., and for mine and mill upgrades at Starcore’s San Martin Mine in Queretaro, Mexico.