Emerging ASX- and JSE-listed energy company Resource Generation (Resgen) plans to obtain shareholder approval for parts of the mine funding package for the construction of the Boikarabelo coal project, in South Africa’s Limpopo province.
The company on Monday said it had determined that several aspects of the arrangements contemplated as part of the mine funding package would require shareholder approval.
It has, therefore, commissioned an independent expert’s report for inclusion in the notice advising shareholders of a general meeting to vote on the affected aspects of the funding package.
The shareholders’ meeting is expected to be held in late March or early April.
In December 2019, Resgen along with its subsidiary Ledjadja Coal announced that the principal binding agreements for the funding of the construction of Boikarabelo by the lending syndicate had been executed.
Meanwhile, Resgen on Monday said the rail link negotiations for a funding package of R750-million continued to progress.
The finalisation of an unconditional comprehensive rail link funding agreement is a condition precedent attached to the mine funding package and is regarded as being on the critical path for the transaction to become effective and allow for the first draw-down of funds for mine construction.