The company said the facility, which is led by National Bank Financial, features more favourable covenants, lowers the margin of borrowing, and extends the term to 25 August 2025 from 29 March 2024.
"With this facility and ongoing free cash flow generation from our Eagle River mine, Wesdome maintains significant financial liquidity and flexibility as we look towards ramping up Kiena in the near term," Wesdome CEO Duncan Middlemiss said.
In a research note discussing Wesdome's Q2 financial results, NBF on 10 August noted that a "sizeable financial miss" with cash balance lower than expected saw Wesdome draw on the RCF after the quarter's end.
"At June 30, 2022, the entire C$45 million facility was available, yet on July 17, WDO withdrew ~C$20 million (US$16 million)," NBF analyst Don Demarco said at the time.
Wesdome's cash balance at the end of the quarter was C$23.5 million, which compared to C$52.5 million at the end of the first quarter.
"Elevated costs guided for H2/22 imply a risk of continued cash burn, until the paste backfill plant is in place," Demarco said.
Wesdome's cash cost guidance for 2022 was lifted from an initial range of US$700-US$775/ounce to US$980-US$1,085/oz. AISC was lifted from US$1,015-US$1,125 to US$1,370-US$1,520.
In releasing its quarter on 10 August, Wesdome also noted that the commissioning of the paste fill plant had been pushed back to Q4, which meant Kiena's 2022 production guidance was dropped to 34,000-43,000oz from 160,000-180,000oz.
The firm posted a net loss of C$14.3 million in the second quarter, down from a $84.9 million profit in the same quarter a year earlier.
Wesdome's share price is trading around two-and-a-half year lows. On 1 September, it was C$7.68, giving the company a market capitalisation of C$1.09 billion.
At 10 August, NBF had a target price for Wesdome of C$16. At the same time, Canaccord Genuity Capital Markets had a target price of C$9.