ASX-listed Resource Generation (Resgen) confirmed on Thursday that it had received a commitment from a lender to table a funding proposal prepared by the deal team for credit committee approval.
The company, has until now, been pursuing a tandem approach to finding a funding solution for the development of its Boikarabelo coal mine, in South Africa.
As part of this tandem approach, it continued to engage with the proposed lending syndicate and, more specifically, the lender that was delaying its credit committee approval processes owing to a broad-based internal review of the organisations environmental, social and governance criteria.
Simultaneously, it was subject to due diligence, seeking to involve a third party as a substitute funder in the syndicate or as a complementary participant in the syndicate.
If credit committee approval is secured, final lender board approval is expected by the end of October.
Consequently, the board has agreed to prioritise this funding route and dedicate all time and resources to securing a favourable outcome, Resgen said.