Endeavour Silver Corp. announced that its wholly-owned subsidiary, Terronera Precious Metals, S.A. de C.V., has amended and restated its senior secured debt facility. The facility, originally announced in October 2023, has been increased by an additional US$15 million, bringing the aggregate principal amount to US$135 million. These proceeds will be used to complete commissioning at the Terronera Project and for general working capital.
As a condition to funding and a risk management strategy, Terronera has entered into zero cost collars to partially manage silver price exposure and cash flows over the next twelve months. This hedging program protects the downside at $31.00 per ounce and allows participation in silver appreciation up to $42.00 per ounce for approximately 968,000 silver ounces. This strategy aims to provide cash flow certainty during the critical commissioning phase.
The company confirmed that Terronera commissioning activities are proceeding as planned and remain aligned with management's expectations. The additional credit facility and the hedging program are designed to ensure the successful ramp-up and commercial production of this cornerstone asset. An update will be provided as the project approaches commercial production.
The content on BeyondSPX is for informational purposes only and should not be construed as financial or investment advice. We are not financial advisors. Consult with a qualified professional before making any investment decisions. Any actions you take based on information from this site are solely at your own risk.