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Approval forthcoming for Boikarabelo rail project funding, says Resgen

22nd June 2020

By: Simone Liedtke

Creamer Media Social Media Editor & Senior Writer

     

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ASX-listed Resource Generation (Resgen) is finalising the funding approval for the Boikarabelo coal project rail link.

The company is busy securing the investment committee and board approval for the nonbinding equity and debt term sheets between its subsidiary Ledjadja Coal and Pan African Infrastructure Development Fund (PAIDF) and PAIDF2, under Harith General Partners’ management, for the funding.

The legal documentation pertaining to the formalisation of the term sheets into legal agreements is being progressed in tandem with the finalisation of the approvals process and follows the interim approvals that were given by Harith.

The working capital component of the facility agreement, which excludes the original noble loan of $20-million plus accumulated interest, will be $29.5-million plus interest including the additional extension.

The amount is to be repaid from the proceeds of the mine funding package upon financial close.

Edited by Chanel de Bruyn
Creamer Media Online Managing Editor

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