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Https://polaris.brighterir.com/public/bushveld_minerals/news/rns/story/xpo9j3w
The Term Loan may be prepaid in whole or in part at any time. Prepayment is subject to the following early redemption fee schedule based on the outstanding balance at the time of prepayment.
o Prior to 30 June 2024: 4%.
o After 30 June 2024 until 30 June 2025: 3%.
o After 30 June 2025 until 30 June 2026: 2%.
§ Supplemental royalty, on the same terms as the existing Production Financing Agreement (as amended), except for the following:
· Royalty payment rate of 0.264% with a realised price per kgV of less than US$47/kgV.
· Royalty payment rate of 0.216% with a realised price per kgV of greater than US$47/kgV.
· The later of 30 June 2027 and when the Term Loan has been fully repaid, the repayment rate will reduce by 80% and shall be payable for the life of the Vametco operation.
Admission, Settlement and Total Voting Rights
An application has been made to the London Stock Exchange for the additional 479,269 Orion Shares to be admitted to trading on AIM. It is expected that Admission will become effective on or around 6 February 2024.
Following Admission, there will be a total of 2,311,692,407 Ordinary Shares in issue, 670,000 of which are held in treasury. Shareholders should use the figure of 2,311,022,407 as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change to their interest in the Company, under the FCA's Disclosure and Transparency Rules.
Bushveld Minerals Limited (AIM: BMN), the primary vanadium producer, is pleased to announce that, further to the announcements on 5 May and 27 November 2023, it has completed the refinancing of its unsecured convertible loan notes issued to OMF Fund III (F) Ltd. ("Orion") dated 29 September 2020. The Company has refinanced its convertible debt obligations of US$47.1 million (including accrued interest) (the "CLN Balance") as follows:
§ US$4.7 million of the convertible debt obligations capitalised into a subscription for 124,747,016 new ordinary shares. Orion was issued with 124,267,747 shares on 27 December 2023, the remaining balance of 479,269 shares will be issued on or around 6 February 2024.
§ A new convertible loan note of US$14.1 million maturing on 30 June 2028.
§ A term loan of US$28.3 million maturing on 30 June 2026.
§ Supplemental royalty at not more than 0.264% of Bushveld's gross revenues and reducing by 80% at the term loan maturity.
Craig Coltman, CEO of Bushveld Minerals commented:
"I am pleased to announce all conditions set out on the definitive agreement with Orion were met and the refinancing transaction is now completed. We thank Orion for their ongoing support towards the Company."
Key Terms of the Refinancing
§ 10% of the CLN Balance (US$4.7 million) capitalised into a subscription for 124,610,082 shares in Bushveld at 3.00p per share, a 48% premium to the 20-day weighted average share price (as at 24 November 2023).
§ 30% of the CLN Balance (US$14.1 million) to remain as a convertible loan note with the following revised terms ("New CLN"):
· Interest: 12% per annum.
· Conversion price: 3.99p.
· Maturity Date: 30 June 2028.
· Bushveld shall has a one-time right to redeem 50% (in whole and not in part) of the New CLN (principal and interest) on 30 June 2026, subject to the right of Orion to elect instead to covert the amount.
§ 60% of the CLN Balance (US$28.3 million) will be converted into a secured term loan ("Term Loan") on the following terms:
· Interest: 6.0% ("Margin") plus the greater of (I) 3-month Secured Overnight Financing Rate ("SOFR") and (ii) 3.0% per annum.
· Interest payable quarterly in arrears in cash starting from the last business day of the quarter in which the closing of the transaction occurs and on the last business day of each quarter thereafter. In the event that the Company has insufficient cash available to pay interest on its due date, the interest due on that date shall continue to accrue. While there is a continuing default, the Margin will be increased by 3%.
O Principal repayments structured to:
a. 25% of the Term Loan (US$7.1 million) to be repaid by 30 June 2024.
b. 30% of the Term Loan (US$8.5 million) to be repaid by 30 June 2025.
c. 45% of the Term Loan (US$12.7 million) to be repaid by 30 June 2026.
Https://www.voxmarkets.co.uk/rns/announcement/cae99f7d-8e7c-4f7d-829a-0facacb024a6/
As an update to the announcement on 16 November 2023, the Company has now completed its investigation in respect of the Finance Director, Tanya Chikanza's alleged failure to disclose a material conflict of interest. It has been established that Ms Chikanza made an oral disclosure to the previous CEO. Notwithstanding this oral disclosure she accepts that it was not in accordance with the Company's Conflict of Interest Policy and constitutes a breach of the policy. The Company has elected not to pursue the disciplinary process and the parties have agreed that Ms Chikanza's employment will end on 31 January 2024.
Craig Coltman, CEO of Bushveld Minerals commented:
"While very frustrating that the full funds have to date failed to materialise, the Board and Management continue to engage actively and constructively with SPR. We are encouraged to receive this first payment from SPR whilst they work with one of their founding partners to resolve the default. We will provide further updates as appropriate with a view to resolving this as quickly as possible."
SPR commented:
"The delay in payment of committed funds from an institutional investor is disappointing, and has caused us a delay in settling our equity funding commitment, we continue to engage in promising discussions with senior representatives at the institution to make good upon their commitment.
Notwithstanding the difficult situation we are fully committed to our package of investments into Bushveld, and in lieu of the committed institutional capital, we have worked urgently to make arrangements with alternative limited partner funding to make good on our contractual commitments to the Company. We look forward to concluding the remaining transactions and crystalising our long term partnership with Bushveld Minerals."
Https://www.voxmarkets.co.uk/rns/announcement/6fa30862-2f18-48e6-89ae-e66456569cd7/
Further to the Company's announcement on 15 January 2024, Bushveld Minerals Limited (AIM: BMN), the integrated primary vanadium producer, remains in regular communication with Southern Point Resources ("SPR"). Despite previous assurances provided by SPR regarding late transfer of funds to the Company being a result of processing delays, SPR has since identified and informed the Company that the delay in settlement of funds is due to one of its institutional funding partners defaulting on an agreement with SPR to commit the funds to satisfy SPR's obligations to the Company. In order to mitigate its breach, SPR is working with its partners to provide an alternative source of funding to resolve the default as soon as possible.
The Company has today received payment of ZAR40 million (~US$2 million) from SPR which has been provided on an interest free basis and will be repaid once SPR provides Bushveld with the entire US$12.5 million, pursuant to the SPR subscription agreement (the "Subscription Agreement"). Under the Subscription Agreement, SPR was due to transfer the US$12.5 million from an offshore bank account into Bushveld's UK bank account. However, due to the events that have recently transpired, the payment received today has been paid into a Bushveld subsidiary's South African bank account from SPR's bank account in South Africa. If the funds received today were to be used to satisfy SPR's obligation under the Subscription Agreement, approval of the South African Reserve Bank would have been required, which would have resulted in further delays in flow of funds. Until the entire US$12.5 million is received SPR remains in default of the Subscription Agreement.
As a result of the delayed settlement, the Company estimates that approximately two weeks production will be lost in January. In addition, the kiln at Vametco is currently being shutdown in order to be refurbished. Additionally, the Company is assessing the impact on production levels beyond January. Based on the Company's current working capital requirements, the Board anticipates Bushveld to have sufficient working capital to sustain the business until the end of February 2024, albeit at reduced production levels. SPR have communicated that the full US$12.5 million will be paid no later than the 28 February 2024.
The Board continues to monitor the situation closely and is working with its creditors and stakeholders, including Orion Mine Finance, to manage the financial condition of the Company.
Https://mybroadband.co.za/news/energy/520763-south-africas-r6-trillion-plans-for-new-power-stations-including-nuclear-and-clean-coal.html
2,000MW of battery storage, to be constructed by 2027
Https://polaris.brighterir.com/public/bushveld_minerals/news/rns/story/ry7ddyr/export
Https://www.proactiveinvestors.co.uk/companies/news/1034861/ftse-100-live-miners-lead-stocks-higher-on-chinese-data-upgrades-1034861.html
Mining stocks are leading the FTSE 100 higher after a closely watched private survey of Chinese factory activity showed a surprise rise in manufacturing activity in November.
Caixin’s China general manufacturing purchasing managers’ index rose to 50.7, indicating a month-on-month increase in activity and well above the 49.3 forecast by economists.
Factories were supported by a rise in domestic orders, while export activity declined at a faster pace than in the previous month.
The figures contrast with the official PMI released on Thursday, which showed activity contracting for a second month. The official PMI puts a greater emphasis on larger, state-owned companies.
Duncan Wrigley at Pantheon Macroeconomics stressed that while “erratic” the Caixin PMI was more optimistic than the official gauge for November.
Wrigley noted cost pressures are abating and firms have a reasonably rosy 12-month outlook.
Https://www.voxmarkets.co.uk/rns/announcement/dd551054-34aa-4beb-b84f-523daea2caf9/
I know it's not BMN specific but as a Vanadium producer still an interesting read.
https://seekingalpha.com/article/4654477-largo-poor-q3-earnings-operational-issues-low-vanadium-prices-rating-downgrade
Https://www.miningmx.com/top-story/55092-bushveld-gets-major-boost-after-investor-refinances-46-9m-in-debt/
ORION Mine Finance has agreed to refinance and extend $46.9m in debt with Bushveld Minerals paving the way for the recapitalisation of the vanadium miner.
Shares in Bushveld Minerals gained nearly 4% in the first hour’s trade on the London Stock Exchange. The share is 43% weaker year-to-date after failing to stem cash losses.
A key element of the refinancing is the conversion of 10% in maturing convertible debt obligations totalling $4.7m into shares at a new price of three pence per share. The notes were previously priced at 6p/share.
At the lower conversion value, the outstanding loan notes will match a proposed $12.5m equity investment in Bushveld Minerals by Southern Point Resources (SPR), a South African investor that will commit up to $77.5m.
The new loan note agreement, announced Monday, has been extended to a new maturity date of January 31 from a previous maturity date of December 21.
Orion’s refinancing agreement includes a new convertible loan note of $14.1m which represents 30% of the balance of the loan note, maturing in June 2028, and a term loan of $28.1m representing 60% of the balance of the loan notes.
Finally, the refinancing includes a supplementary royalty at not more than 0.264% of Bushveld’s gross revenues and reducing by 80% at the term loan maturity. The refinancing proposal requires the support of Bushveld Minerals shareholders.
Craig Coltman, CEO of Bushveld Minerals said it was “imperative” the firm reach an agreement with Orion. “The restructuring is a key part of our strategy to restore value in the company, along with ensuring Bushveld delivers its operational targets, simplifies its corporate structure and refines its investment proposition,” he said.
Bushveld’s future trading prospects were thrown into doubt earlier this year as the company continued to post cash losses. It reported a cash outflow of $2.7m for the year to June. While this was less than the $7.1m cash outflow in the previous year, cash on hand dwindled to $3.7m. This resulted in the departure of Bushveld’s founding CEO, Fortune Mojapelo amid major shareholder discontent.
As part of its recapitalisation plans, SPR injected R150m in working capital into Bushveld, keeping it liquid in the near-term. The rest of its recapitalisation requires it buying 50% of Bushveld’s Vanchem vanadium plant and 64% of its Mokopane project in Limpopo as well as takong over the marketing of vanadium production.
For his part, Coltman has promised to simplify Bushveld by returning it to its basic proposition of producing vanadium profitably for the carbon steel sector. Under Mojapelo, Bushveld had invested in downstream battery technology companies in an effort to stimulate new demand for the mineral.
On November 20, Bushveld Minerals announced it intended to sell its 25.25% stake in CellCube, an energy storage
Https://polaris.brighterir.com/public/bushveld_minerals/news/rns/story/w63yggw/export
The story is behind a paywall so this is all I can see
https://www.bloomberg.com/news/articles/2023-11-17/south-africa-may-need-136-billion-for-energy-transition-study-shows?leadSource=uverify%20wall
South Africa May Need $136 Billion for Energy Transition, Study Shows
Even if coal plants are left open, renewables will grow fast
Most ambitious scenario sees 105 GW of renewables by 2040
South Africa cannot escape the need to spend significantly on new wind and solar power plants, a BloombergNEF study shows.
Under a range of scenarios considered by researchers the country may need to spend as much $136 billion on new power generation capacity over the next two decades. A slowing down of the proposed closing of coal-fired plants wouldn’t negate the need for renewable energy.