(Alliance News) - Premier African Minerals Ltd on Thursday confirmed it has received some funding from Zimbabwe's National Indigenisation & Economic Empowerment Fund.
The investment comes after Zimbabwe on Monday banned the use of foreign currencies in the southern African country, reintroducing its own currency, the RTGS, or Zimbabwean dollar.
NIEEF has now sent Premier African RTGS6 million, equivalent to USD6 million under the terms of the investment agreed in May.
This funding will go towards Premier African getting the RHA tungsten mine in the country back into operation, and Premier African said its financial operations going forward will use a one-to-one conversion rate for the Zimbabwean dollar and the US dollar.
Going ahead, Premier African is still unsure over the exact amount needed to get RHA back into production, and is also working out what items will need to be supplied from outside of Zimbabwe.
"In the interim, we will revaluate how best we can commence with the process of bringing RHA back into production as expeditiously as possible. I look forward to providing the market with further update as we progress," said Premier African.
The company's shares were down 7.0% in London on Friday at 0.065 pence.
Premier African Minerals (PREM)