Ero Copper Corp. said Dec. 17 that it secured US$130 million in credit facilities from two Canadian banks to refinance its current debt.

The agreements signed with The Bank of Nova Scotia and Bank of Montreal include an US$80 million term facility and a US$50 million revolving credit facility. The term facility has a five-year term, with principal payments starting two years after closing, while the revolving credit facility is payable in a bullet at maturity, four years from closing. Both will bear interest on a sliding scale at the London Interbank Offered Rate plus 2.75% to 4.75%, depending on the company's consolidated leverage ratio.

Ero Copper intends to use the proceeds to refinance about US$119 million of its existing U.S. dollar-denominated debt, including a US$50 million credit facility previously entered into with Scotiabank.

Scotiabank acted as joint lead arranger, sole book runner and administrative agent, while BMO acted as joint lead arranger and syndication agent.