JOHANNESBURG (miningweekly.com) – A Zimbabwe-based banking institution has offered to provide direct finance to Aim-listed Premier African Minerals’ 49%-owned RHA tungsten mine.
RHA had increased its working capital facilities with a $200 000 general credit facility from a local bank, which could be used for the payment of direct operating expenses associated with the production of wolframite concentrates.
The facility bore interest at the bank's cost of funds plus a margin of 8.75% and was guaranteed by Premier. The on-demand facility was for an initial term to October 31.
“It is most encouraging that a local banking institution has a level of confidence in RHA such that it is prepared to extend a facility for normal working capital requirements linked to the shipment of concentrates,” commented Premier CEO George Roach.