https://www.miningweekly.com

Chaarat Gold to raise at least $12m in placing

15th April 2020

By: Creamer Media Reporter

     

Font size: - +

Aim-quoted gold mining company Chaarat will raise at least $12-million through the issue of new shares in the company at 26p a share.

The company, which has assets in Kyrgyzstan and Armenia, said on Wednesday that it already had commitments from its major shareholders, all board members and senior management to invest $12-million by way of fresh investment or conversion of existing debt in the placing and that it was open to receiving additional offers on the same terms.

In addition, Chaarat reported that it had finalised terms relating to the extension of its $17-million loan plus $2.4-million of accrued interest to a maturity date of December 31. The company has also finalised the compensation structure with Labro Investments in respect of the guarantee provided to secure the loan extension. The working capital facility provided by Labro has been extended to December 31.

Charaat noted that the proceeds of the placing, alongside the loan extension, would enable it to progress its construction schedule and drilling programme at Tulkubash during the summer season.

Moreover, the funds would also be used to further advance the high-grade Kyzyltash project, as well as accelerate selected merger and acquisition opportunities and reduce overall company indebtedness.

 

Edited by Mariaan Webb
Creamer Media Senior Deputy Editor Online

Comments

The content you are trying to access is only available to subscribers.

If you are already a subscriber, you can Login Here.

If you are not a subscriber, you can subscribe now, by selecting one of the below options.

For more information or assistance, please contact us at subscriptions@creamermedia.co.za.

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?

MAGAZINE & ONLINE

SUBSCRIBE

RESEARCH CHANNEL AFRICA

SUBSCRIBE

CORPORATE PACKAGES

CLICK FOR A QUOTATION