Business
Statement re Revolving Credit Facility
Statement re Revolving Credit Facility.
About this update from Pan African Resources Plc
[{"type":"text","content":"\n \n3 May 2011 \n\n Pan African Resources plc \n\n(Incorporated and registered in England and Wales under Companies Act 1985 with\n registered number 3937466 on 25 February 2000) \n\n Share code on AIM: PAF \n\n Share code on JSE: PAN \n\n ISIN: GB0004300496 \n\n (`Pan African' or the `Company' or the \"Group\") \n\nBARBERTON MINES SECURES REVOLVING CREDIT FACILITY \n\nShareholders are advised that the Company's operating subsidiary, Barberton\nMines (Proprietary) Limited (\"Barberton Mines\"), has secured final credit\napproval for a three year revolving credit facility in the amount of R150\nmillion from Nedbank Limited (\"Facility\").\n\nThis Facility provides the Group with immediate capacity for working capital\npurposes and general finance requirements, which would include funding of\norganic growth at Barberton Mines and within the Group. The Facility is\nco-guaranteed by Pan African and its wholly-owned subsidiary Phoenix Platinum\nMining (Proprietary) Limited, and does not require any form of hedging as a\ncondition.\n\nJan Nelson, Pan African's Chief Executive Officer, commented: \"The Pan African\nGroup continues to be unhedged and debt free, with cash on hand of R150m at the\ndate of this announcement. The new revolving credit facility from Nedbank\nLimited does however provide an efficient funding mechanism to take advantage\nof organic growth opportunities at Barberton Mines. It also demonstrates the\nconfidence of funders in the long-term sustainability of the mine. In this\nregard, a feasibility study is currently being completed on treating the\nBramber tailings dam, which if viable could increase the annual production of\nthe mine by 20koz. A separate treatment plant will have to be constructed to\ntreat the additional production stream, and this may be funded from the\nFacility\".\n\n ENDS \n\nFor further information on Pan African Resources plc, please visit the website\nat www.panafricanresources.com\n\nSouth Africa UK \n \nPan African RBC Capital Markets \n \nJan Nelson, Chief Executive Officer Martin Eales \n \n+27 (0) 11 243 2900 +44 (0) 20 7653 4000 \n \nPan African St James's Corporate Services \n Limited \nNicole Spruijt \n Phil Dexter \n+27 (0) 11 243 2900 \n +44 (0) 20 7499 3916 \n \nMacquarie First South Advisers (Pty) Ltd Gable Communications \n \nMelanie de Nysschen / Yvette Labuschagne Justine J...