|
News Release
Yukon Zinc
Announces Extension of Barclays US$140 Million Senior Debt Facility
Vancouver, BC, March
26, 2008 - Yukon Zinc Corporation (YZC.TSX-V) is
pleased to announce that Barclays Capital ("Barclays") has extended
the current US$140 million senior debt facility ("the Facility")
commitment to June 30, 2008. This Facility forms the lead portion of
project financing for the Wolverine Project located in southeast Yukon, Canada.
The original debt commitment, and the extension of the commitment are
subject to standard conditions, including a review of any capital cost
changes and loan pricing in the context of the debt markets. Barclays
Capital is the Investment Banking division of Barclays Bank PLC and one of
the leading providers of finance to the mining sector.
"The extension of Barclays' commitment in the midst of the
current uncertain financial markets again confirms the fundamental merits of
the Wolverine Project and confidence in the development team", said Dr. Harlan Meade, Yukon Zinc President and CEO, "meanwhile
the Company continues its discussions with industry and other groups
interested, directly or indirectly, in providing the required equity to fully
finance Wolverine."
Senior Debt Facility
The term sheet for the Facility provides for up to US$140 million that
will be available to the Company following completion of loan and security
documentation as well as satisfaction of various conditions precedent. This
loan has a term of 7.5 years and will be secured against the assets of the
project. The initial financing commitment followed an extensive due diligence
review by Barclays' Independent Engineers, Pincock
Allen and Holt, of the Optimized Feasibility Study completed by Wardrop Engineering in early 2007.
This news release contains forward-looking statements based on
assumptions and judgments of management regarding future events or results
that may prove to be inaccurate as a result of failure to complete the
proposed financing, failure to obtain necessary regulatory or shareholder
approvals, and other risk factors beyond its control and actual results may
differ materially from the expected results.
- 30 -
For more information contact:
Dr. Harlan Meade, President and CEO
Shae Dalphond
Manager, Investor Communications
Telephone: (604) 682-5474 Toll-free: 1-877-682-5474
Facsimile: (604) 682-5404
info@yukonzinc.com
www.yukonzinc.com
THE TSX VENTURE EXCHANGE HAS NOT REVIEWED AND DOES NOT ACCEPT
RESPONSIBILITY FOR THE ADEQUACY OF THIS NEWS RELEASE.
|