Last checked at 21 Jul 2023 07:10
21 July 2023
Premier African Minerals Limited
Director Loan
Premier African Minerals Limited ("Premier" or the "Company") announces that the Company has entered into a Loan Facility Agreement with George Roach ("Lender"), for up to £1.7 million.
Terms of the Loan
The Company has entered into an unsecured £1.7 million Loan Facility Agreement with George Roach on 20 July 2023 ("Loan"). Premier can request a draw down of the Loan in two separate requests with the first being for £1 million and the second request being the remaining balance of the Loan (collectively the "Utilisation Request"). Each Utilisation Request will be repayable on the date falling 6 calendar months after the Utilisation Request ("Repayment Date").
Upon receipt of a Utilisation Request, the Lender will sell such number of their holding of Premier ordinary shares ("Shares") under orderly market conditions until such time as the amount of the Utilisation Request has been realised ("Sale Shares"). The Lender will inform the Company of the average selling price of Sale Shares sold by the Lender to fund the Utilisation Request, including all related broker fees incurred during the selling of the Sale Shares ("Floor Price").
The Loan is repayable in new Shares. Premier shall repay each Utilisation Request under the Loan in full on the Repayment Date applicable to such Utilisation Request by issuing to the Lender such number of new Shares ("Settlement Shares") as is equal to the amount of the Loan due on the Repayment Date divided by the Floor Price applicable to the Sale Shares which were sold by the Lender to fund the Utilisation Request.
If Premier is unable for any reason to issue the Settlement Shares by whatever means, repayment of the Loan may be made in cash in an amount which is equal to amount of the Loan plus compounded accrued interest at 8% per annum from the date of the Utilisation Request. No arrangement or other fees are payable under the Loan.
The Loan will be used for general working capital purposes including funding ongoing operational expenses at Zulu Lithium and Tantalum Project.
The information contained within this announcement is deemed by the Company to constitute inside information as stipulated under the Market Abuse Regulations (EU) No. 596/2014 as it forms part of UK Domestic Law by virtue of the European Union (Withdrawal) Act 2018.
The person who arranged the release of this announcement on behalf of the Company was Godfrey Manhambara.
Enquiries:
George Roach | Premier African Minerals Limited | Tel: +27 (0) 100 201 281 |
Michael Cornish / Roland Cornish | Beaumont Cornish Limited (Nominated Adviser) | Tel: +44 (0) 20 7628 3396 |
Douglas Crippen | CMC Markets UK Plc | Tel: +44 (0) 20 3003 8632 |
John More/Toby Gibbs | Shore Capital Stockbrokers Limited | Tel: +44 (0) 20 7408 4090 |
Notes to Editors:
Premier African Minerals Limited (AIM: PREM) is a multi-commodity mining and natural resource development company focused on Southern Africa with its RHA Tungsten and Zulu Lithium projects in Zimbabwe.
The Company has a diverse portfolio of projects, which include tungsten, rare earth elements, lithium and tantalum in Zimbabwe and lithium and gold in Mozambique, encompassing brownfield projects with near-term production potential to grass-roots exploration. The Company has accepted a share offer by Vortex Limited ("Vortex") for the exchange of Premier's entire 4.8% interest in Circum Minerals Limited ("Circum"), the owners of the Danakil Potash Project in Ethiopia, for a 13.1% interest in the enlarged share capital of Vortex. Vortex has an interest of 36.7% in Circum.
In addition, the Company holds a 19% interest in MN Holdings Limited, the operator of the Otjozondu Manganese Mining Project in Namibia.
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