PERTH (miningweekly.com) – Graphite developer Walkabout Resources will raise $40-million through the launch of a secured loan note issued in the international capital markets.
International investment bank Pareto Securities has been engaged to advise on the procurement of development funding for Walkabout’s Lindi Jumbo project, in Tanzania, with Pareto having coordinated an extensive due diligence process over the past few months, including the engagement of independent third-party advisers to assist with the legal and technical due diligence, and a review of the graphite market and the marketing of the Lindi Jumbo graphite concentrate.
Walkabout on Friday said that the net proceeds of the loan note, along with the existing cash, the exercise of outstanding options, a previously announced A$5-million bridging debt facility, and other equity proceeds, will be used to fund the development and construction of the Lindi Jumbo project.
The 40 000 t/y project is expected to have a mine life of some 24 years, and will cost $27.8-million to develop.