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SouthGobi Resources Announces Deferral of Significant Payment Obligations

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SouthGobi Resources Announces Deferral of Significant Payment Obligations

An update from SouthGobi Resources ( (TSE:SGQ) ) is now available.

SouthGobi Resources Ltd. has entered into a new deferral agreement with JD Zhixing Fund L.P., its largest shareholder and holder of a significant convertible debenture. This agreement allows the company to defer various payment obligations totaling approximately US$137.7 million, including cash interest, payment-in-kind interest, and management fees, until dates extending into 2026. This strategic move is aimed at easing the company’s financial obligations and providing more flexibility in managing its resources, potentially impacting its financial stability and stakeholder relations positively.

More about SouthGobi Resources

SouthGobi Resources Ltd. is a company based in British Columbia, Canada, with a focus on mining and resource development. It operates primarily in the coal industry, engaging in the exploration and development of coal resources in Mongolia.

YTD Price Performance: -3.51%

Average Trading Volume: 8,652

Technical Sentiment Consensus Rating: Sell

Current Market Cap: C$163.2M

See more insights into SGQ stock on TipRanks’ Stock Analysis page.

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