VANCOUVER, CANADA – GoviEx Uranium Inc. (TSX-V: GXU; OTCQB: GVXXF) (“GoviEx” or “Company”), further to the forbearance agreement among the Company, Linkwood Holdings Pte Ltd. (“Linkwood”) and Medea Capital Partners Limited (“Medea”) dated July 15, 2019, as amended (the “Forbearance Agreement”), announces today that due to market turmoil exacerbated by the Coronavirus disease (COVID-19) outbreak, Linkwood is experiencing significant difficulty liquidating assets to meet the agreed repayment schedule under the Forbearance Agreement and consequently made only a portion of the scheduled payment due for the month of February 2020. The Company is working with Linkwood to review the re-payment schedule taking into consideration the market forces at work, which are beyond the control of Linkwood and the Company.
Pursuant to the Forbearance Agreement, GoviEx agreed to forbear collection procedures to allow Linkwood time to liquidate assets and repay the Loan in full based on ongoing monthly payments, together with default interest at a rate of 11.5%, until July 30, 2020.
Linkwood has made and continues to make payments to GoviEx as they liquidate assets that are being used, in addition to the existing collateral under the Loan, to permit continued repayment of the Loan to GoviEx. The team at Linkwood remains committed to ensuring GoviEx is repaid, in an achievable, structured and timely manner.
Neither the TSX Venture Exchange nor the Investment Industry Regulatory Organization of Canada accepts responsibility for the adequacy or accuracy of this release.
About GoviEx Uranium
GoviEx is a mineral resource company focused on the exploration and development of uranium properties in Africa. GoviEx’s principal objective is to become a significant uranium producer through the continued exploration and development of its flagship mine-permitted Madaouela Project in Niger, its mine-permitted Mutanga Project in Zambia, and its other uranium properties elsewhere in Africa.
Govind Friedland, Executive Chairman
Daniel Major, Chief Executive Officer
Cautionary Statement Regarding Forward-Looking Statements
This news release may contain forward-looking information within the meaning of applicable securities laws. All information and statements other than statements of current or historical facts contained in this news release are forward-looking information.
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