PR89465

MONTRÉAL, May 12, 2021 /PRNewswire=KYODO JBN/ --

Tacora Resources Inc. ("Tacora" or the "Company") today announced that it has

successfully completed a $175 million aggregate principal amount of 8.250%

senior secured notes due 2026 (the "Notes). The Notes will pay interest

semi-annually in arrears on May 15 and November 15 of each year beginning on

November 15, 2021, and will mature on May 15, 2026, unless earlier redeemed or

repurchased.

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The net proceeds from the Notes, after payment of related costs and expenses,

will be used to refinance the Company's senior secured debt and the remainder

will be used for working capital and general corporate purposes.

"Our refinancing strategy has been to reduce our borrowing costs, assure

adequate liquidity and provide financial flexibility for the business," stated

Joe Broking, Executive Vice President and Chief Financial Officer. "The new

structure will provide Tacora with the capital necessary for continued

investment and the flexibility to consider sustainable growth."

"The completion of this financing initiative puts the Company and our dedicated

employees in a wonderful position where we can be more agile in deploying

capital towards reaching name plate production at the Scully Mine and

responsibly growing the business.  Improving the balance sheet was the first

step in achieving our strategic objectives which also include productivity

improvement and growth options at the Scully Mine along with the development

and restart of the Sydvaranger Mine," concluded Thierry Martel, President and

Chief Executive Officer.

Jefferies LLC acted as sole book-running manager and Clarksons Platou

Securities AS acted as joint lead manager for the offering.

About Tacora Resources Inc.  

Tacora is a private company that is focused on the production and sale of

high-grade and quality iron ore products that improve the efficiency and

environmental performance of steel making.  The Company owns and operates the

Scully Mine, a 6 million tonne per year iron ore concentrate producer located

in Wabush, Newfoundland and Labrador, Canada, and owns the Sydvaranger Mine, a

mine located in Sør-Varanger, Norway that is currently idled with a feasibility

study recently completed for an expansion to 4 million tonnes per year of iron

ore concentrate.  The Company's equity investors include funds managed by

Proterra Investment Partners LP; Aequor Holdings LLC; Cargill, Inc.; a fund

managed by Orion Mine Finance; Titlis Mining AS; and MagGlobal LLC.  100% of

the Scully Mine concentrate is purchased and marketed globally by a subsidiary

of Cargill Inc.  Additional information about the company is available at

www.tacoraresources.com.

Forward-Looking Statements

This press release contains statements that are forward-looking in nature and

relate to our expectations, beliefs, and intentions. All statements other than

statements of historical fact are statements that could be deemed to be

forward-looking. Although Tacora believes the expectations expressed in such

forward-looking statements are based on reasonable assumptions, such statements

involve known and unknown risks, uncertainties and other factors and are not

guarantees of future performance and actual results may accordingly differ

materially from those in forward-looking statements, and these statements are

subject to risks, uncertainties and assumptions that could cause outcomes to

differ from our expectations. The forward-looking information set forth herein

reflects Tacora's expectations as at the date of this press release and is

subject to change after such date. Tacora disclaims any intention or obligation

to update or revise any forward-looking statements, whether as a result of new

information, future events or otherwise.

This news release is for informational purposes only and does not constitute an

offer to sell or a solicitation of an offer to buy Tacora's senior secured

notes. Tacora's senior secured notes were offered solely to qualified

institutional buyers pursuant to Rule 144A under the Securities Act of 1933, as

amended (the "Securities Act"), and to non-U.S. persons outside the U.S. under

Regulations S of the Securities Act. Tacora's senior secured notes were not

registered under the Securities Act or the securities laws of any other

jurisdiction. As a result, they may not be offered or sold in the United States

or to any U.S. persons except pursuant to an applicable exemption from, or in a

transaction not subject to, the registration requirements of the Securities Act.

Thierry Martel

President  and Chief Executive Officer

T – (418) 409-9416

E – thierry.martel@tacoraresources.com

Joe Broking

Executive Vice President and Chief Financial Officer

T – (218) 398-0079

E – joe.broking@tacoraresources.com

SOURCE: Tacora Resources Inc.