05:16 PM EDT, 06/27/2024 (MT Newswires) -- Eldorado Gold ( EGO ) said Thursday it reached an agreement with its lenders to extend and increase its senior secured credit facility.

The credit facility has a four-year term and consists of a US$350 million revolving senior secured credit facility up from its previous US$250 million limit with a US$100 million accordion feature.

The new facility replaces the October 2021 senior secured credit facility set to mature in 2025. The Credit Facility bears interest at a rate of SOFR plus a margin of 2.125-3.25%, dependent on the company's net-leverage ratio.

"We are pleased to continue our long-standing partnership with our multinational bank group, the majority of whom have partnered with Eldorado for many years. With the Skouries project fully funded and expected to achieve first production in the third quarter of 2025, this facility provides additional financial flexibility to continue to strengthen and grow our business with value creating opportunities for all our stakeholders," chief executive George Burns said in a release.

As at June 27, no amounts were drawn under the facility, however availability is reduced by 126.2 million euros in connection with the outstanding amount of the letter of credit backstopping the company's equity commitment for the Skouries project.

Eldorado shares closed up $0.05 to $20.29 on the Toronto Stock Exchange.