Aim-listed AfriTin Mining’s majority owned subsidiary, Uis Tin Mining Company, has entered into a conditional, credit-approved term sheet for a lending facility with the Development Bank of Namibia to fund the Uis Phase 1 Stage II Continuous Improvement project, in Namibia.
The proposed lending facility comprises N$100-million.
It is intended that the lending facility will be used to fund the scope of work covered in the Uis Phase 1 Stage II Continuous Improvement project.
The lending facility will be used to complement the expansion project that is already in progress and which is expected to increase plant throughput, improve processing efficiency to maximise the recovery rate of concentrate, promote business sustainability through the enhancement of support infrastructure, and reduce the unit cost of production.
The Phase 1 expansion commissioning remains on track to be completed during the third quarter.
Although the lending facility has been approved by the credit committee and board of the Development Bank of Namibia, there are certain conditions precedent that need to be adhered to, including completion of final legal documentation.
“We are pleased to announce the headline terms for a proposed lending facility with the Development Bank of Namibia. This new strategic financing partnership reinforces our commitment to developing long-term relationships within Namibia and ultimately will be to the benefit of the people of Namibia.
“A long-term financing partnership with the Development Bank of Namibia also facilitates further financing options that drive the growth and expansion of the entire project,” says AfriTin CEO Anthony Viljoen.