Business
Debt Refinancing - USD37M Loan Facility
Debt Refinancing - USD37M Loan Facility.
About this update from Anglo Asian Mining Plc
[{"type":"text","content":"\n \nRNS Number : 0477Q Anglo Asian Mining PLC 09 October 2013 \n \n\nAnglo Asian Mining plc / Ticker: AAZ / Index: AIM / Sector: Mining\n9 October 2013\nAnglo Asian Mining plc ('Anglo Asian' or 'the Company')\nDebt Refinancing - US$37 million Loan Facility Agreement\n \nAnglo Asian Mining plc, the AIM listed gold producer in Azerbaijan, is pleased to announce that it has entered into a loan facility agreement ('Facility Agreement') with Amsterdam Trade Bank N.V. ('ATB').\n \nUnder the terms of the Facility Agreement, ATB has agreed to provide a committed term loan facility of up to US$37 million (the 'ATB Facility') to Azerbaijan International Mining Company LLP ('AIMC'), a wholly owned subsidiary of Anglo Asian.\n \nThe Board intends to draw down the full amount immediately as the ATB Facility attracts a lower interest rate, the proceeds shall be used to reduce the Company's existing loan facility with the International Bank of Azerbaijan ('IBA') which was used for the construction of an Agitation Leaching Plant at its flagship gold/copper/silver mine, Gedabek, and to pay certain fees and expenses in relation to the arrangement of the ATB Facility. \n \nAnglo Asian CEO Reza Vaziri said, \"Our existing loan with the IBA enabled us to construct an Agitation Leaching Plant at our flagship Gedabek gold production project which was commissioned US$7 million under budget at US$45 million in June 2013. Thanks to this injection of US$37million from the Amsterdam Trade Bank we can now pay down our existing loan at a reduced interest rate. With lower operating costs and improved gold recoveries of both oxide and sulphide ores coming from Gedabek since the commission of the plant, as was expected, we look forward to the remainder of the year as we progress towards our FY2013 gold production target of 60,000oz.\"\n \nFurther Information\n \nThe ATB Facility has a term of 58 months and attracts a quarterly interest rate of LIBOR* plus 8.25 per cent. The first repayment instalment commences on the 25th day of the 16th month from the draw down date and the outstanding amount shall be repaid in equal quarterly instalments. Prepayments are permitted, subject to certain fees and conditions. The Facility Agreement also includes certain representations and warranties from AIMC. The ATB Facility...