(Alliance News) - Premier African Minerals Ltd on Thursday said it could turn to funding sources beside Zimbabwe's government for its RHA tungsten project.
Industry & Commerce Minister Sekai Nzenza visited the project on behalf of the National Indigenisation & Economic Empowerment Fund.
Following the visit, NIEEF requested to revaluate its commitment at the project, after Premier African gave revised cost estimates, that were denominated in Zimbabwe's RTGS dollar.
Premier added: "Local costs in RTGS dollars are increasing at a rate substantially greater than implied by the official rate at which the RTGS dollar exchanges against the US Dollar. NIEFF is expected to re-evaluate either providing additional funding for RHA in RTGS dollars reflecting these increased local costs, or varying the terms of the RHA shareholder agreement that would allow Premier to access alternative external funding."
Premier African shares were 12% lower at 0.090 pence each in London on Thursday afternoon.
By Eric Cunha; ericcunha@alliancenews.com
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Premier African Minerals (PREM)