{"id":1181379,"date":"2020-04-29T12:35:56","date_gmt":"2020-04-29T17:35:56","guid":{"rendered":"https:\/\/www.mining.com\/?p=1022185"},"modified":"2020-04-29T12:35:56","modified_gmt":"2020-04-29T17:35:56","slug":"alderon-loses-kami-project-after-defaulting-on-sprott-loan","status":"publish","type":"post","link":"https:\/\/juniorminingnews.com\/?p=1181379","title":{"rendered":"Alderon loses Kami project after defaulting on Sprott loan"},"content":{"rendered":"<p>Alderon Iron Ore (TSX: IRON) <a href=\"https:\/\/finance.yahoo.com\/news\/alderon-provides-corporate-220010774.html\"  rel=\"noreferrer noopener\" aria-label=\"has lost its interest (opens in a new tab)\">has lost its interest<\/a> in the Kami iron ore project in the Labrador Trough after failing to repay a $14 million loan to Sprott Resource Lending due at the end of March. As a result, Sprott would seize control over the project, which is also 25% owned by China&#8217;s HBIS Group.<\/p>\n<div class='d-flex justify-content-center d-xs-block d-sm-block d-md-none'>\n<div id='div-gpt-ad-1561499308230-0'><script>googletag.cmd.push(function() {googletag.display('div-gpt-ad-1561499308230-0');});<\/script><\/div>\n<\/div>\n<p>Earlier this year, Tunghsu Group <a aria-label=\"entered into a letter of intent (opens in a new tab)\" rel=\"noreferrer noopener\" href=\"https:\/\/www.mining.com\/alderon-iron-adds-chinese-partner-to-kami-mine\/\" >entered into a letter of intent<\/a> with Alderon to acquire a 26% to 38% interest in the Kami project, adding a second Chinese partner to the fold. At that time, Alderon said the investment would help the company repay the Sprott loan.<\/p>\n<p>However, Tunghsu withdrew its proposed investment in the project later in March, citing the uncertainty created by the covid-19 pandemic.<\/p>\n<p>Alderon said it had explored \u201call available alternatives\u201d over the past 18 months, including a corporate transaction or a further extension with Sprott under a care and maintenance scenario.<\/p>\n<p>In addition, company board members and executives including CEO Tayfun Eldem and COO Kate Lynn Genzel have all resigned from their positions, leaving the iron ore miner&#8217;s future up in the air.<\/p>\n<p>Last year, Alderon officials indicated that they were hoping to break ground on the Kami project some time in 2020. The proposed mine is surrounded by three producing iron ore mines. <\/p>\n<p>Once developed, the Kami mine is expected to operate for 23 years, producing 7.84 million tonnes of iron ore concentrate annually with an iron content of 65.2%.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Company said it was left with limited options after Tunghsu Group withdrew its investment.<\/p>\n","protected":false},"author":88,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"site-sidebar-layout":"default","site-content-layout":"","ast-site-content-layout":"default","site-content-style":"default","site-sidebar-style":"default","ast-global-header-display":"","ast-banner-title-visibility":"","ast-main-header-display":"","ast-hfb-above-header-display":"","ast-hfb-below-header-display":"","ast-hfb-mobile-header-display":"","site-post-title":"","ast-breadcrumbs-content":"","ast-featured-img":"","footer-sml-layout":"","ast-disable-related-posts":"","theme-transparent-header-meta":"","adv-header-id-meta":"","stick-header-meta":"","header-above-stick-meta":"","header-main-stick-meta":"","header-below-stick-meta":"","astra-migrate-meta-layouts":"default","ast-page-background-enabled":"default","ast-page-background-meta":{"desktop":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"tablet":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"mobile":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""}},"ast-content-background-meta":{"desktop":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"tablet":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"mobile":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""}},"footnotes":""},"categories":[369,4],"tags":[],"class_list":["post-1181379","post","type-post","status-publish","format-standard","hentry","category-miningcom","category-news"],"_links":{"self":[{"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/posts\/1181379","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/users\/88"}],"replies":[{"embeddable":true,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=1181379"}],"version-history":[{"count":5,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/posts\/1181379\/revisions"}],"predecessor-version":[{"id":1181474,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=\/wp\/v2\/posts\/1181379\/revisions\/1181474"}],"wp:attachment":[{"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=1181379"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=1181379"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/juniorminingnews.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=1181379"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}