OCIM closes a funding facility of US$2.5 million with Inca One
Ocim Precious Metals SA ("OCIM") is pleased to announce the closing of a US$ 2.5 million funding facility with Inca One Gold Corp. (TSX-V: IO, OTC: INCAF, FSE: SU92) ("Inca One").
Listed on the Toronto Stock Exchange, Inca One operates two duly authorized gold ore processing units located in Peru: Chala One and Kori One. An exemplary player in terms of social responsibility and environmental best practices, Inca One sources gold ore from artisanal and small local producers and sells its production of gold doré bars to European refining companies.
Under the current agreement, OCIM is providing Inca One with a first tranche of a Secured Gold Loan of US$ 2.5 million, to be repaid by the delivery of gold ounces. A subsequent facility of US$ 6 million will be discussed with Inca One after full repayment of the first tranche.
This financing from OCIM will allow Inca One to increase its supply of ore from artisanal and small local producers with the aim of running its processing units at 100% of capacity, as compared to approximately 30% previously. This bespoke financing package also affords Inca One access to financing terms that are both non-dilutive and better suited to its business model than traditional bank financing.
"We are pleased to make it possible for Inca One to expand its processing capacity and thus participate in the integration of more artisanal and small local producers into the formal economy. This integration appears now more necessary than ever for accelerating the transformation of the Peruvian gold sector into an even more inclusive and responsible industry," explains Laurent Mathiot, CEO of OCIM.
ABOUT INCA ONE
Inca One Gold Corp is a TSXV listed, gold producer operating two, fully permitted, gold mineral processing facilities in Peru. The Company produced nearly 25,000 ounces of gold from its operations in 2019 and has generated over US$100 million in revenue over the last five years. Inca One, now in its sixth year of commercial production, is led by an experienced and capable management team that has established the Company as a trusted leader in servicing government permitted, small scale miners in Peru. Peru is the world’s sixth-largest producer of gold and its small-scale mining sector is estimated by government officials to be valued in the billions of dollars annually. Inca One possesses a combined 450 tonnes per day permitted operating capacity at its two fully integrated plants, Chala One and Kori One, and is targeting a fourth consecutive year of increased production and sales growth.
To learn more, visit: www.incaone.com