PERTH (miningweekly.com) – Australia-focused metals miner NQ Minerals has secured a $60-million debt facility with a European natural resources bank and financial solutions provider Traxys Group as part of its refinancing efforts for the original debt raised to fund the Hellyer base and precious metals project, in Tasmania.
The new debt facility comprises a six year amortising loan with a coupon rate of Libor plus 5%, allowing NQ Minerals and its subsidiary Hellyer Gold Mines to retire a portion of the initial project startup and commissioning debt, and to replace this 12% debt with funding that has significantly lower interest rates and is more aligned with the project’s maturity and projected life.
NQ Minerals told shareholders that the completion of the debt facility and the potential drawdown of the funds remained subject to final documentation and a number of conditions precedent, including Credit Committee and board approvals.
Meanwhile, the London-listed company is also continuing parallel discussions with other potential refinancing institutions to complement the new debt facility.