Strateco Announces a CA $2,500,000 Bridge Loan With SIDEX
BOUCHERVILLE, QUEBEC -- (Marketwire) -- 09/15/10 -- Strateco Resources Inc. ('Strateco') (TSX: RSC)(FRANKFURT: RF9)(OTCBB: SRSIF) is pleased to announce that it has entered into a final agreement for a CA $2.5 million bridge loan with SIDEX LP ('SIDEX').
The funds are intended to act as a bridge in the event the payment of Strateco's 2009 refundable tax credits for resources is delayed. As at June 30, 2010, Strateco had earned a total of CA $13.4 million in tax credits, of which CA $5.7 million relates to 2009 refundable tax credits. Strateco also anticipates the receipt of CA $1.5 million on refundable mining duties before the end of the calendar year.
The loan is secured and must be repaid within 30 days from the receipt of the 2009 tax credits for resources, or at the latest, by March 15, 2011. The loan bears interest at an annual rate of 9%. The use of the funds is at the discretion of the Company.
In connection with the loan, Strateco issued 300,000 common share purchase warrants to SIDEX. Each warrant entitles the holder to acquire one common share of Strateco for 18 months at a price of $1.00 per share. Each common share is subject to a resale restriction of four months.
About SIDEX
SIDEX was established by the government of Quebec and the Solidarity Fund QFL. The mission of SIDEX is to invest in companies engaged in mineral exploration in Quebec in order to diversify Quebec's mineral base, encourage new exploration models, stimulate investment for new commodities in existing districts and open new territories with high potential for discovery.
This news release contains forward-looking statements subject to certain risks and uncertainties. There can be no assurance that these statements will prove to be correct, and actual results and future events could differ materially from those implied by such statements. These risks and uncertainties are discussed in the annual report filed with the securities commissions of Alberta, British Columbia, Ontario and Quebec and in the 10-K annual report filed with the US Securities and Exchange Commission.
Contacts:
Strateco Resources Inc.
Guy Hebert
President and Chief Executive Officer
450-641-0775 or 1-866-774-7722
450-641-1601 (FAX)
ghebert@bbhgm.com
Strateco Resources Inc.
Jean-Pierre Lachance
Executive Vice President
450-641-0775 or 1-866-774-7722
450-641-1601 (FAX)
jplachance@bbhgm.com
www.stratecoinc.com
Renmark Financial Communications Inc.
Jason Roy
514-939-3989 or 416-644-2020
jroy@renmarkfinancial.com
Renmark Financial Communications Inc.
Maurice Dagenais
514-939-3989 or 416-644-2020
mdagenais@renmarkfinancial.com
www.renmarkfinancial.com