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Platinum Group Metals to Enter New Financing for US$40 Million
Nov. 02, 2015 03:51PM PST
Precious MetalsPlatinum Group Metals (TSX:PTM) plans to drawdown its US$40 million working capital facility with Sprott Resource Lending Partnership, executed February 2015. It has also entered an agreement for a further US$40 million loan facility with its largest shareholder, Liberty Metals & Mining Holdings, LLC, subject to the appropriate approvals.
Platinum Group Metals (TSX:PTM) plans to drawdown its US$40 million working capital facility with Sprott Resource Lending Partnership, executed February 2015. It has also entered an agreement for a further US$40 million loan facility with its largest shareholder, Liberty Metals & Mining Holdings, LLC, subject to the appropriate approvals.
As quoted in the press release:
These financings are planned to allow the Company to complete its ramp-up at the WBJV Project 1 platinum mine (“Project 1”) and for general working capital. Cold commissioning of the plant is in process and platinum and palladium concentrate production is set to commence in the weeks ahead. First concentrate delivery to Anglo Platinum’s Waterval smelter at Rustenburg is planned for January 2016. Underground development is ongoing.
Platinum Group Metals CEO, R. Michael Jones, said:
We are pleased to finalize these arrangements and we will be looking for prompt approval by regulators and shareholders. These important financing steps avoid the equity market and allow our team to focus on the commencement of production and ramp up.