Nice vote of confidence.....
2010-08-17 17:15 ET - News Release
Mr. Peter Cashin reports
QUEST RARE MINERALS ANNOUNCES $1.5 MILLION CONVERTIBLE LOAN WITH SIDEX
Quest Rare Minerals Ltd. has entered into a letter agreement with Sidex LP, for a loan to Quest in an amount of $1.5-million. The loan will be for a term of 18 months and may be repaid by Quest at any time upon 60 days' notice. Sidex may, at its option, convert the loan into Quest shares at any time at a price of $3.00 per share, representing a total of 500,000 Quest shares. Quest expects to use the proceeds from the loan for exploration of Quest's Strange Lake property and for working capital.
"We are very pleased to count Sidex as a financing partner," said Peter J. Cashin, Quest's president and chief executive officer. "The fact that this is the largest bridge financing arrangement that Sidex has ever extended to an exploration company in its history reflects positively on Quest's rare earth property potential. The loan, in essence, allows Quest to bring forward a portion of its anticipated 2010 provincial exploration tax rebates, normally paid out by July, 2011. We will work diligently in developing our REE resources and continue to strengthen our relationship with Sidex and other Quebec government-based financial institutions."
