Last checked at 23 Jun 2021 09:56
China Nonferrous Gold Limited 中国有色黄金有限公司
(“CNG” or the “Company”)
Execution of New Loan Agreement
Update on COVID 19
China Nonferrous Gold Limited 中国有色黄金有限公司 (AIM: CNG), the mineral exploration and mining company currently mining the Pakrut gold project in the Republic of Tajikistan, is pleased to provide the following update:
Banking Facility from Bank of Shanghai (Hong Kong) Limited
The Company has today executed an agreement with Bank of Shanghai (Hong Kong) Limited (“BOS”) for a loan facility of up to US $65 million (the “BOS Loan”). The Loan facility is for a maximum of 24 months and is repayable 24 months from the drawdown. The terms of the BOS Loan include an annual interest rate at 1.30% plus 3 month LIBOR.
Separately, it has been agreed (as a standalone agreement) that the facility will be guaranteed by a standby letter of credit from China Nonferrous Metal Mining (Group) Co., Ltd (“CNMC”) (the “Guarantee”), for the aggregate amount of USD$66 million, such guarantee also expires 24 months from the date of the drawdown (the “SBLC”). The total amount of the Loans shall not exceed 99% of the total value of the SBLC at any time.
It has also been agreed that 0.2% per annum of the total sum is payable as arrangement fee by CNG to BOS.
There are no fees payable to CNMC by CNG for providing the guarantee.
The total amount of US$65m of the BOS Loan is expected to be drawn down before the end of the month in order to repay the CCBC Macau loan, of which US $65m remains outstanding (see announcement dated 1 July 2016 for more details of this arrangement). This loan is due for repayment before the end of June 2021.
Summary of Current Financial Position
At the current time, excluding the BOS Loan outlined above, loans drawn down by the Company amount to c. USD$328 million, this includes US$99.55m of banking facilities (unaudited).
COVID 19 Update
The Directors confirm that they continue to take appropriate steps to ensure that staff are protected at site, and that to date operations at the mine site at Pakrut continue as normal, despite COVID 19. Further updates will be provided if the situation changes.
For further information please visit the Company’s website (www.cnfgold.com) or contact:
China Nonferrous Gold Limited
Zhang Hui, Managing Director
Tel: +86 10 8442 6662
WH Ireland Limited (NOMAD & Broker)
Katy Mitchell, James Sinclair-Ford
Tel: +44 (0)207 220 1666
Blytheweigh (PR)
Tim Blythe, Camilla Horsfall
Tel: +44 (0)20 7138 3224
The information contained within this announcement is deemed by the Company to constitute inside information under the Market Abuse Regulation (EU) No. 596/2014
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