TORONTO, ONTARIO--(Marketwired - June 16, 2014) - Cline Mining Corporation ("Cline" or the "Company") announced today that, due to continuing financial constraints and unfavorable market conditions, it has failed to make scheduled principal and interest payments due in respect of its US$65.5 million 10% senior secured bonds and its CDN$12.3 million 10% senior secured convertible bonds (collectively, the "Secured Notes") which matured on June 15, 2014. The Company has received notice from the holders of the Secured Notes of its agreement to treat the above-referenced payment defaults as part of the existing forbearance agreements which are set to expire on or before June 30, 2014 as the Company continues to assess financing options aimed at maximizing the long-term value of its assets.
About Cline
Cline is a Canadian mining company whose primary asset is its 100% owned New Elk coking coal mine located in Trinidad, Colorado. The Company also has interests in an iron ore project in Madagascar, and the Cline Lake gold property in northern Ontario, Canada. Cline's head office is in Toronto and it has a site office at the New Elk mine in Colorado.
For further details on Cline, please refer to Cline's web site (www.clinemining.com) and Cline's Canadian regulatory filings on SEDAR at www.sedar.com.
Contact Information:
Chief Restructuring Officer & Acting Chief Executive Officer
Corporate office
161 Bay Street, 27th Floor, Toronto, ON M5J 2S1
Telephone: +1 (416) 572-2200
Email: mgoldfarb@clinemining.com
Paul Haber
Chief Financial Officer & Corporate Secretary
Corporate office
161 Bay Street, 27th Floor, Toronto, ON M5J 2S1
Telephone: +1 (416) 572-2200
Email: info@clinemining.com / Web: www.clinemining.com