The Board of Stanmore Resources Ltd refers to its announcement dated 2 November 2020 regarding a US$40 million secured loan facility (GEAR facility) from Golden Energy and Resources Ltd (GEAR).
Stanmore Resources has announced that it has agreed with GEAR to increase the facility limit under the GEAR facility from US$40 million to US$70 million.
The other material terms and conditions of the GEAR facility, as well as the security granted in favour of GEAR, remain unchanged. The GEAR facility agreement is subject to a number of conditions precedent that the company expects to fulfil shortly.
The company is in the process of seeking an amendment to the ASX waiver granted in connection with the GEAR facility. Until the ASX waiver is updated, the secured monies that may be recovered by GEAR will be limited to US$40 million. The company will provide a further announcement once the amended ASX waiver has been obtained.
The funds under the increased GEAR facility is a significant step forward in the progression of the Isaac Downs project, together with the recently announced Mavis & Millennium acquisition, as it substantially satisfies the company’s short to medium term debt requirements and allows a seamless transition from Isaac Plains East to Isaac Downs after the mining lease is obtained.
Read the article online at: https://www.worldcoal.com/mining/06072021/stanmore-resources-provides-financing-update/