North American Tungsten Begins Restructuring Proceedings Pursuant to the CCAA

North American Tungsten Corp. (TSXV:NTC) announced that it has began restructuring proceedings pursuant to an initial order granted by the Supreme Court of BC under the Companies’ Creditors Arrangement Act.

As quoted in the press release:

The need for NATC to restructure under the CCAA is attributable to a number of factors including the continuation of low prevailing market prices of APT, high debt service payments, insufficient capitalization, and recent operational issues. Although the Corporation is currently unable to meet all of its past obligations and ongoing financing costs, NATC expects that a financial restructuring will enable it to continue to operate as a going concern and preserve value for stakeholders.

The Corporation has obtained CCAA protection for an initial period of 30 days, expiring on July 9, 2015 and the Court has set a further hearing date of July 8, 2015 at which time an extension of the protection under the CCAA will be sought. While under CCAA protection, creditors and others are stayed from pursuing any claims or enforcing any rights against NATC. During this time, it is intended that NATC’s operations will continue uninterrupted and all obligations to employees and suppliers of goods and services provided after the filing date will be met.

Click here to read the full North American Tungsten Corp. (TSXV:NTC) press release.