CALGARY, AB—(Marketwired – August 31, 2017) – Niko Resources Ltd. (“Niko” or the “Company”) (TSX: NKO) provides the following update:
As disclosed in its August 11, 2017 press release announcing its operating and financial results for the quarter ended June 30, 2017, in order to fund the projected cash requirements of the Company's assets in India and its other cash requirements over the next few months, the Company requested consent from the Lenders under its amended and restated facilities agreement to use a portion of the funds in a restricted cash reserve account. A decision from the Lenders on this request is now expected before the end of September 2017. An adverse decision from the Lenders will have a material adverse impact on the Company's ability to fund its operations and is likely to lead the Company to take steps which could be adverse to all stakeholders.
Certain statements in this press release constitute forward–looking information. Specifically, this press release contains forward looking information relating to the Company's ability to receive consent from the Lenders for the release of funds from a restricted cash reserve account and such funds being sufficient to fund the projected cash requirements of the Company's assets in India and its other cash requirements over the next few months. Such forward–looking information is based on a number of risks, uncertainties and assumptions, which may cause actual results or other expectations to differ materially from those anticipated and which may prove to be incorrect. Undue reliance should not be placed on forward–looking information. Such forward–looking information reflects the Company's current beliefs and assumptions and is based on information currently available to the Company. This forward–looking information is based on certain key expectations and assumptions, many of which are not within the control of the Company, including that the consent of the Lenders can be obtained on a timely basis and the expected cash flow of the Company over the next few months. The reader is cautioned that the assumptions used in the preparation of such information, although considered reasonable at the time of preparation, may prove to be incorrect. Actual results may vary from the information provided herein as a result of numerous known and unknown risks and uncertainties and other factors and such variations may be material. Such risk factors include, but are not limited to, the risks discussed under the heading “Risk Factors” in the Company's Annual Information Form for the year ended March 31, 2017 and in the Company's public disclosure documents, and other factors, many of which are beyond the Company's control. Niko makes no representation that the actual results achieved during the forecast period will be the same in whole or in part as those forecast.
The forward–looking information included in this press release is expressly qualified in its entirety by this cautionary statement. The forward–looking information included herein is made as of the date of this press release and Niko assumes no obligation to update or revise any forward looking information to reflect new events or circumstances, except as required by law.