ECU Silver Mining Inc.

ECU Silver Mining Inc.

December 21, 2007 17:56 ET

ECU Silver Amends Terms of Debt Facility

TORONTO, ONTARIO--(Marketwire - Dec. 21, 2007) - ECU Silver Mining Inc. (TSX:ECU) is pleased to announce that it has reached an agreement with IIG Capital LLC ("IIG") to amend the terms of its existing term facility (the "Facility").

The Facility currently is for an amount of US$12,000,000 with a term ending April 30, 2010. The interest rate is equal to 6% plus the 3-month LIBOR rate, subject to a minimum interest rate of 10% per annum. Principal is repayable in equal monthly installments of US$1,000,000 commencing May 2009. ECU has amended the terms of the Facility in order to permit it to prepay any or part of the principal at its option without penalty at any time on 30 days notice to IIG.

In consideration of such amendment, ECU has issued to IIG an aggregate of 400,000 purchase warrants ("Purchase Warrants"), with each Purchase Warrant entitling its holder to acquire one common share of ECU (a "Common Share") at a price of $2.85 at any time on or before June 4, 2009; provided, however, that if the closing price of the Common Shares on the Toronto Stock Exchange is equal to or greater than $3.75 for a period of twenty (20) consecutive trading days at any time after April 22, 2008, ECU may give notice to the holders of the Purchase Warrants of the expiry of such Purchase Warrants on the thirtieth (30th) day after the date such notice is given.

Contact Information

  • ECU Silver Mining Inc.
    Stephen Altmann
    (416) 644-8640
    (416) 644-8801 (FAX)