PERTH (miningweekly.com) – ASX-listed Emerald Resources has inked a $60-million credit agreement with Sprott Private Resource Lending to finance its Okvau gold project, in Cambodia.
“We are extremely pleased to have executed this credit agreement which is the culmination of a thorough and collaborative process by the team at both Emerald and Sprott,” said Emerald MD Morgan Hart.
“With the execution of the agreement and a clear path for financing, we look forward to achieving our goal of becoming the first modern large-scale Cambodian gold producer in the second quarter of 2021.”
The Okvau debt facility has also provided Emerald access to a $100-million acquisition and development facility to fund future development and acquisition opportunities, Emerald said on Wednesday.
Financial close and first drawdown of the debt facility remains subject to customary conditions, including the execution of all facility documentation and the perfection of security, which is expected by the end of the first quarter this year.
The Okvau project is expected to require a capital investment of $98-million to develop a two-million-tonne-a-year operation delivering about 106 000 oz of gold, over an initial mine life of seven years.