West African gold producer and developer Robex Resources has appointed Australia-based fund management firm Taurus Mining Finance Fund No.2 as exclusive arranger for a funding package of up to $115-million for the development of Robex’s Kiniero gold project in Guinea.
Robex acquired Kiniero in April 2022 as part of a merger with precious and base metals project explorer, developer, financier and miner Sycamore Mining.
A recently-released prefeasibility study into the Kiniero project highlights it as having 2.75-million-ounces worth of gold reserves and resources.
The funding package comprises a $35-million bridge facility to be used towards the early site work programme and the engineering leading up to a definitive feasibility study (DFS), which is expected to be released during the second quarter of this year.
The package also includes an up to $100-million project finance facility to be used to refinance the bridge loan and fund capital development and working capital costs; as well as an up to $15-million cost overrun facility to cover unforeseen expenditures above contingencies built-in to the current design.
The mandate letter signed between Robex and Taurus includes term sheets for the three facilities containing customary terms and conditions. In particular, the bridge loan is subject to confirmatory due diligence, while the project finance and cost overrun are subject to the release of the DFS, satisfactory to Taurus funds.
Robex CEO Benjamin Cohen says that with the potential funding source, the company is able to accelerate the construction of the project, and that it remains on track to deliver its first gold pour in the first quarter of 2024.