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Veris Gold gets creditor protection extension

5th February 2015

By: Henry Lazenby

Creamer Media Deputy Editor: North America

  

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TORONTO (miningweekly.com) – Veris Gold this week reported that it had obtained an order from the Supreme Court of British Columbia, effective February 2, that extended the period of the court-ordered stay of proceeding against Veris and its subsidiaries under the Companies' Creditors Arrangement Act (CCAA) until February 23.

The sales process deadline for a potential bidder to deliver a qualified bid, as defined in the sales and solicitations procedures (SSP) included in the court's Sales Process Order, which had subsequently been extended, was January 30.

The company explained late on Tuesday that it was reviewing the results of the SSP in conjunction with Deutsche Bank and the debtor-in-possession lender Whitebox Advisors. The monitor would provide a further update on these results in its next report to the Court.

Veris, which operates the Jerritt Canyon operation, in Elko County, Nevada, had been operating under the protection of the CCAA and the US Bankruptcy Code since June 9, last year, after defaulting on a senior secured gold forward facility it entered into in 2011 and 2012 with Deutsche Bank London Branch.

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Edited by Tracy Klückow
Creamer Media Contributing Editor

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