Business
Steelmin repays Red Rock Loan
Steelmin repays Red Rock Loan.
About this update from Red Rock Resources Plc
[{"type":"text","content":"\n \nRNS Number : 4557F Red Rock Resources plc 21 February 2018 \n\nRed Rock Resources PLC\n(\"Red Rock\" or the \"Company\")\nSteelmin Repays Red Rock Loan \n \n21 February 2018 \nRed Rock Resources Plc, the natural resource development company with interests in gold and steel feed materials, announces further to the announcement of 18th January 2018, that Steelmin Limited (\"Steelmin\"), a company Red Rock financed so that it could complete the refurbishment and recommissioning of a ferrosilicon smelter in Jajce, Bosnia, has repaid in full the amounts outstanding to Red Rock (\"Loan\"). \nKey points: \no Total amount due under the Loan of €4,314,688.68 has been repaid to Red Rock.\n \no Red Rock retains a 22% fully diluted shareholding in Steelmin.\n \no Red Rock has one board seat and one observer seat on the Steelmin board. \n \no Red Rock understands that Steelmin now forecasts first production following completion of the refurbishment of the ferrosilicon smelter complex in Jajce, Bosnia for April 2018 (previously reported as March).\n \no Steelmin's plant will initially consist of the refurbished Furnace V of 29,000t of ferrosilicon p.a. and 5,800t of microsilica, and after a planned (but not yet funded) refurbishment of a second furnace will have a combined annual capacity of 48,720 tonnes ferrosilicon (FeSi 75) and 9,700 tonnes of microsilica.\n \no Red Rock will now repay US$3,000,899 in full settlement of its obligations to the institutional investors that provided the back to back financing for its Loan to Steelmin, and will retain the balance as £976,525.46 and US$912,457.90.\n \nAndrew Bell, Chairman of Red Rock comments: \"The successful unwinding of these back to back arrangements leaves Red Rock in a solid financial position. We now hold at no net cost a key stake in an emerging European ferrosilicon producer. We look forward to updating the market on further developments as they occur.\"\n \n \nSteelmin - Background\nThe Steelmin plant and facility is located in central Bosnia, 104 kilometres north west of Sarajevo. The complex, formerly part of Electrobosna, was originally built in the 1970s by Elkem, a major silicon and alloy producer based in Norway, and was one of the largest and b...