Burgundy expands Canadian tariff loan by C$60m
Diamond miner Burgundy Diamond Mines has secured an expansion of up to C$60-million on the previous C$115-million loan that the company received in December through the Large Enterprise Tariff Loan (LELT) facility.
Managed by a subsidiary of Canada Development Investment Corporation, the LETL provides financial support to large Canadian enterprises impacted by actual and potential tariffs and countermeasures.
Burgundy previously said that the loan would enable the Ekati mine in the Northwest Territories to continue operations while the rough diamond market navigates the 50% US tariff on imports from India, where 90% of rough diamonds globally are cut and polished.
CEO Jeremy King said in December that the funding was needed to maintain operations while the company worked to lower its cost base and refocus on higher-value assets within the Ekati complex.
Funds will be used to support ongoing underground development, the reactivation of the Sable openpit, completion of the Fox wash plant, working capital requirements and financing costs.
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