Thompson Creek announces increased financial flexibility from voluntary termination of US$35 million revolving credit facility

Monday, Feb 08, 2010

Thompson Creek Metals Company Inc., one of the world's largest publicly traded, pure molybdenum producers, today announced that it has increased its financial flexibility by voluntarily terminating an existing $35 million credit facility, which was established when the Company was in a substantially different financial position and which is no longer meeting its business needs. As of January 29, 2010, Thompson Creek had cash and short-term investments of approximately $507 million and no debt except for outstanding equipment loans of approximately $13 million.

The termination of the first lien revolving collateralized line of credit facility, effective February 2, 2010, will provide Thompson Creek with more financial flexibility by releasing the liens on the Company's assets securing this facility. In addition, the associated administrative and unused credit facility fees will be eliminated.

As of the termination date, there were no outstanding borrowings under this facility and Thompson Creek was in compliance with all of the applicable covenants.

Thompson Creek is currently assessing its long-term business requirements for other forms of credit.

The credit facility was originally negotiated as part of the 2006 financing for the acquisition of Thompson Creek USA, and then in August 2008, following the full repayment of the amounts outstanding under the original financing, was amended and increased from $22.5 million to $35 million. Since the facility was amended, there have not been any borrowings under the facility and it was scheduled to mature on October 26, 2011.

About Thompson Creek Metals Company Inc.

Thompson Creek Metals Company Inc. is one of the largest publicly traded, pure molybdenum producers in the world. The Company owns the Thompson Creek open-pit molybdenum mine and mill in Idaho, a metallurgical roasting facility in Langeloth, Pennsylvania and a 75% share of the Endako open-pit mine, mill and roasting facility in northern British Columbia. Thompson Creek is evaluating the Mount Emmons Deposit, a high-grade underground molybdenum deposit near Crested Butte, Colorado. Thompson Creek has an option to acquire up to 75% of the Mount Emmons Deposit. The Company is continuing to pursue permitting of the Davidson Deposit, a high-grade underground molybdenum deposit near Smithers, B.C. The Company has approximately 750 employees. Its principal executive office is in Denver, Colorado, and it also has an office in Toronto, Ontario. More information is available at www.thompsoncreekmetals.com.

Source: PR Newswire