1 December 2017
Mountain Province Diamonds Inc. today announces the pricing of its offering of US$330,000,000 senior secured second lien notes due December 15, 2022, which are being offered on a private placement basis to qualified institutional buyers. Mountain Province intends to use the net proceeds from the offering, together with cash on its balance sheet, to fully repay and terminate its US$370 million project loan facility (of which US$357 million was outstanding as of September 30, 2017), to fully repay amounts owing to De Beers Canada, the operator of the Gahcho Kué diamond mine, for historic sunk costs related to the development of the mine (of which approximately C$48.5 million of costs and accumulated interest was outstanding as of September 30, 2017), and to pay related fees and expenses of the offering of the notes and the entry into the new revolving credit agreement.