PRLog - Feb. 14, 2014 - TORONTO -- TORONTO, Ontario, February 14, 2014: Scania Capital Corporation is pleased to announce that it has recently issued $200 million USD 5 year Senior Secured Asset Backed Bonds yielding 6.5% annually. The company acts as a debt and/or equity funding partner engaged in direct investments and joint ventures in precious metals mining operations and industrial manufacturing operations. The company’s collateral security for the bonds are in ground gold assets located in the USA that have a valuation of approximately $7.8 billion USD at current market prices according to the 43-101 technical report. Scania Capital will consider listing the bonds on a leading Stock Exchange within six months after escrow is broken on raising the first $10 million USD in the event of investor requirements for liquidity.
Senior Secured Notes
The proceeds from the bond issue shall mainly be utilized to fund mining operations in North America. The first of such operations is based on Scania Capital’s 50 / 50 joint venture partnership with Energy Recovery Group Inc. of the Happy 2 placer mine located in Pinal County, Arizona. The probable reserves of gold and platinum group metals (PGM) are estimated to be approximately $229 billion USD at current prices.
The Happy 2 JV mining project intends to use a proprietary cutting edge process, licensed from a leading university that allows for a higher extraction rate than achieved by current methods. Applied to the Happy 2 ore body, this extraction method will provide greater yields than by traditional mining techniques.
Scania Capital’s Executive Vice President Lindsay Oliver says, “given that the unstable state of “fiat” currencies is causing investors to look for safe-haven investments, our new tangible-asset backed bond put us in exactly the right place at the right time. Gold is the money that cannot be printed out of thin air.”
Interested parties may contact Mr. Oliver for further information via the Toronto Office at +1 (416) 444-4001
NOTE: The Bonds may not be offered or sold within the United States or to U.S. persons, except to qualified institutional buyers in reliance on the exemption from registration provided by Rule 144A, and to certain persons in offshore transactions in reliance on Regulation S.