Last checked at 7 Jun 2016 07:00
7 June 2016
GOLDSTONE RESOURCES LIMITED
("GoldStone" or the "Company")
Increase in loan facility
GoldStone Resources Limited (AIM: GRL), the West and Central Africa focused gold exploration company quoted on AIM, announces that, further to the announcement of 12 April 2016, Stratex International Plc ("Stratex"), the Company largest shareholder, has agreed to amend the terms of the loan agreement to increase the amount of the unsecured loan from US$100,000 up to US$350,000 (the "Loan"), demonstrating Stratex's ongoing support to the Company.
All other terms of the loan agreement remain the same, with the Loan being repayable on or before 31 December 2016 and interest accruing on the outstanding amount of the Loan at 5.0% per annum which is payable quarterly in arrears.
Following the increase in the Loan, as at the date of this announcement the Company has available cash resources of approximately US$370,000, which includes the US$350,000 Loan, which has not yet been drawn.
The Loan will be used to provide general working capital and to satisfy the agreement between the Company and Mr Jurie Wessels announced today.
As a substantial shareholder, Stratex is deemed a related party of the Company and the increase in the Loan therefore constitutes a related party transaction pursuant to Rule 13 of the AIM Rules for Companies. Accordingly, the independent director, Neil Gardyne, having consulted with Strand Hanson Limited, the Company's nominated adviser, considers that the terms of the Loan are fair and reasonable insofar as the Company's shareholders are concerned.
**ENDS**
For further information, please contact:
GoldStone Resources Limited | |
Christopher Hall / Neil Gardyne | +44 (0)20 7830 9650 / +27 (0)82 490 4427 |
Strand Hanson Limited | |
Richard Tulloch / Andrew Emmott | +44 (0)20 7409 3494 |
SI Capital Limited | |
Nick Emerson / Andy Thacker | +44 (0)1483 413 500 |