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US fund manager invests A$23m in Blackham Resources

25th September 2018

By: Creamer Media Reporter

     

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ASX-listed Blackham Resources has signed executive agreement with New York-based institutional fund manager, The Lind Partners, for an investment of up to A$23-million, the company announced on Tuesday.

An initial A$7.5-million would be provided as a secured convertible note with a 24-month term and would be used, along with current cash, to repay A$13-million of short-term debt owed to Orion Fund JV.

Clearing that debt would allow the company to redirect operational cash flows to expanding its reserves and finalising the Wiluna expansion definitive feasibility study.

“We have been following Blackham since Lind’s first investment in 2012 and have seen them evolve from an explorer to a gold producer with a 6.7-million ounce resource and a considerable growth story. We are thrilled to invest in Blackham again and support management’s strategic plans to expand operations to be one of Australia’s most significant gold mines,” commented Lind MD Jeff Easton.

Blackham operates the Matilda-Wiluna gold mine in Western Australia and is forecasting gold production of between 77 000 oz and 89 000 oz in the 2019 financial year at an all-in sustaining cost of A$1 250/oz to A$1 450/oz.

Edited by Mariaan Webb
Creamer Media Senior Deputy Editor Online

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