JOHANNESBURG (miningweekly.com) – London-listed Bellzone Mining has secured short-term finance of up to $4-million from China Sonangol.
Bellzone planned to initially draw down $750 000, which would provide working capital to continue operations until late August 2014, with the balance expected to provide sufficient working capital to continue operations until late October 2014.
However, the drawdown of the remaining $3.2-million was subject to the satisfaction of certain further conditions, including the completion of the transfer of Bellzone Holdings, which held the Kalia mining permit and a wholly-owned Jersey subsidiary, to another subsidiary OTN Mining.
The transfer simplified corporate transactions at the asset level and did not constitute a change of control of the asset.
The loan, secured by the entire issued share capital of Bellzone Holdings, Sadeka, OTN Mining and Coastal Iron Development, was repayable in full by December 2014.