Northam increases RCF to R15bn as it prepares for investment in further growth opportunities
Johannesburg-listed Northam Platinum has finalised an agreement to increase its existing revolving credit facility (RCF) from R13.3-billion to R15-billion, taking Northam's total available banking facilities to R16-billion.
The available banking facilities provide the Northam group with important funding flexibility and liquidity.
"We are approaching the conclusion of our current strategic journey and, given the quality of our resource base and operating assets, together with our view of an ongoing and increasing platinum group metal (PGM) supply deficit, it is now time to set new goals.
"Having assessed all available alternatives, we have concluded our optimal path lies in a combination of incremental brownfield enhancements to our own operations, together with the expansion of our third-party business," the company says.
It points out that this will, over the next five years, enable growth in the company's sales to 1.5-million ounces of platinum, palladium, rhodium and gold and two-million tonnes of chrome concentrate, while "bullet-proofing" the company against future potential market shocks.
This new strategic goal includes growth at each of the company's operations and will require capital investment. The increased RCF will secure the liquidity needed to enable execution of this strategy despite any potential future market volatility.
"Northam's belief in the inherent value of the metals which we produce, together with our long-held view of shrinking global primary production, have been the drivers behind our growth strategy. This strategy has required the investment of significant capital.
"The RCF Increase will provide Northam with the liquidity and flexibility to increase our production base even further and to continue to sustainably increase value for all stakeholders," CEO Paul Dunne comments.
Article Enquiry
Email Article
Save Article
Feedback
To advertise email advertising@creamermedia.co.za or click here
Announcements
What's On
Subscribe to improve your user experience...
Option 1 (equivalent of R125 a month):
Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format
Option 2 (equivalent of R375 a month):
All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors
including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.
Already a subscriber?
Forgotten your password?
Receive weekly copy of Creamer Media's Engineering News & Mining Weekly magazine (print copy for those in South Africa and e-magazine for those outside of South Africa)
➕
Recieve daily email newsletters
➕
Access to full search results
➕
Access archive of magazine back copies
➕
Access to Projects in Progress
➕
Access to ONE Research Report of your choice in PDF format
RESEARCH CHANNEL AFRICA
R4500 (equivalent of R375 a month)
SUBSCRIBEAll benefits from Option 1
➕
Access to Creamer Media's Research Channel Africa for ALL Research Reports on various industrial and mining sectors, in PDF format, including on:
Electricity
➕
Water
➕
Energy Transition
➕
Hydrogen
➕
Roads, Rail and Ports
➕
Coal
➕
Gold
➕
Platinum
➕
Battery Metals
➕
etc.
Receive all benefits from Option 1 or Option 2 delivered to numerous people at your company
➕
Multiple User names and Passwords for simultaneous log-ins
➕
Intranet integration access to all in your organisation

















