Zeta Resources Limited ('Zeta') has agreed to provide an unsecured loan of A$8.0 million to Panoramic Resources Limited ('Panoramic') (ASX:PAN).

The key terms of the loan are as follows: Principal amount of A$8.0 million.

Interest rate of 6% per annum.

The loan is unsecured and subordinated to the Macquarie Bank Limited ('Macquarie') Senior Facility.

The loan has a maturity date of 30 June 2022, unless repaid early.

Approximately A$3.4 million of the loan principal shall be off-set by the transfer of approximately 17.2 million Horizon Gold shares agreed to be sold by Panoramic to Zeta, as announced on 30 March 2020 ('Horizon Share Sale'), if the Horizon Share Sale is approved by Panoramic shareholders.

Unless otherwise agreed, Panoramic will seek shareholder approval for the Horizon Share Sale and issue of Options between 1 June and 1 August 2020.

Amounts outstanding (together with any interest accrued and 'make-whole' payments) under the Zeta Loan Facility are repayable on the occurrence of certain events, including on the earlier of: o a change of control in Panoramic (being someone obtaining voting power of more than 50% and if there is a bid it becomes unconditional, or a scheme becomes effective); the occurrence of an event of default (which are limited to breaches of obligations, representations and warranties, and insolvency events).

Panoramic has advised that Macquarie has provided consent, under Panoramic's existing Senior Secured Debt Facility with Macquarie, in connection with the Zeta loan facility ('Senior Lender Consent'). The Senior Lender Consent contains customary terms, including restrictions on repayment of the Zeta loan facility ahead of Macquarie.

Contact:

Email: contact@icmnz.co.nz

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