JOHANNESBURG (miningweekly.com) – Zambia-focused mineral processing business, BMR Group has entered into a $5.2-million project construction and trade finance facility with African Compass International, a private South African group engaged in mining, energy and agribusiness.
Through the facility, Aim-listed BMR and its Enviro Mining subsidiary, will receive up to $4.2-million for use at its Kabwe plant.
It also provides for the drawdown of $1-million to satisfy the consideration payable to exercise the option agreement with Bushbuck Resources for the acquisition of its Star Zinc large-scale prospecting licence 19653-HQ-LPL in Zambia.
Drawdowns under the facility, which is interest free but involves an arrangement fee of $100 000, are to be repaid within 12 months of the final milestone – the commissioning of Kwabe.
BMR chairperson Alex Borrelli said the facility represented a “defining moment” for the company, as the financing underpinned its planned cost of the Kabwe plant.
He added that the company remained on track to commission the plant in 2017.
Edited by: Chanel de Bruyn
Creamer Media Senior Deputy Editor Online
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