GUARANTEE OF CREDIT FACILITY
EXHIBIT
10.16
WHEREVER
CONFIDENTIAL INFORMATION IS OMITTED HEREIN (SUCH DELETIONS ARE DENOTED BY AN
ASTERISK), SUCH CONFIDENTIAL INFORMATION HAS BEEN SUBMITTED SEPARATELY TO THE
SECURITIES AND EXCHANGE COMMISSION PURSUANT TO A REQUEST FOR CONFIDENTIAL
TREATMENT
THIS
Guarantee of Credit Facility is entered into among Nevada Gold and Casinos,
Inc., (referred to below as “Borrower”); Black Hawk Gold, LTD (referred to below
as “Guarantor”); and * (referred to below as "Lender').
GUARANTEE
of Credit Facility.
For
valuable consideration, Guarantor does hereby unconditionally guarantee the
performance by Borrower of all of the terms, conditions and duties of Borrower,
or any Guarantor, under the terms of that certain document entitled, “Amended
and Restated Credit Facility” (“Credit Facility”) providing for a Fifty Five
Million Dollar ($55,000,000.00) line of credit executed January 19, 2006,
together with all such other and further documents, Notes, undertakings,
Security Agreements, Commercial Pledge Agreements, Schedules and other
instruments executed pursuant thereto. There are no conditions precedent,
doctrines of marshalling, or other legal or equitable duties enforceable against
the Lender or in favor of the Borrower or Guarantor which require the Lender
to
take any action against the Borrower or any other party or person prior to
exercising her rights under this guarantee and any other instrument executed
pursuant to the Credit Facility. This guarantee shall be interpreted to the
broadest scope possible in favor of the Lender and shall be interpreted, if
necessary to carry out the foregoing, as though Guarantor were the
Borrower.
This
guarantee is secured by a commercial pledge agreement entered into
contemporaneously with this guarantee.
This
guarantee shall extend to all future advances, modifications, extensions and/or
amendments of the terms of the Credit Facility and any instruments executed
pursuant to the Credit Facility. Lender shall be under no obligation to inform
Guarantor of any such future advances, modifications, extensions and/or
amendments of the terms of the Credit Facility and any instruments executed
pursuant to the Credit Facility and all such events shall give rise to guarantee
liability hereunder as though existing on the date of the execution of this
guarantee.
All
terms
of the Credit Facility and Commercial Pledge Agreement are incorporated herein
by reference as though set forth at length herein. Guarantor acknowledges that
it has had the opportunity to fully and completely review the Credit Facility
and all instruments executed thereunder.
Executed
this 19th day of January, 2006.
Guarantor:
Black
Hawk Gold, Ltd.
By:
/s/
H.
Xxxxxx Xxxx
Its
President
