Goldplat plc Agreement Of Us$2m Loan Facility

 
TIDMGDP 
 
   Goldplat plc / Ticker: GDP / Index: AIM / Sector: Mining & Exploration 
 
   17 March 2017 
 
   Goldplat plc ("Goldplat" or "the Company") 
 
   Agreement of US$2m Loan Facility 
 
   Goldplat, the AIM quoted African gold producer, is pleased to announce 
that its wholly owned subsidiary, Gold Mineral Resources Ltd ("GMR"), 
has agreed a US$2 million uncommitted, on-demand, revolving pre-export 
loan facility (the "Loan Facility") with Scipion Active Trading Fund 
("SATF") arranged by Scipion Capital Ltd ("Scipion"). The Loan Facility 
is available for a period of 360 days from the date of first draw-down 
and the term can be extended, or the size increased, on the mutual 
agreement of both parties.  Interest is payable on amounts drawn under 
the Loan Facility at a rate equal to LIBOR plus a margin of 9.5 per cent 
per annum. Security on the drawn amounts has been granted over Goldplat 
Recovery (Pty) Limited's ("GPL") tailings facility in South Africa, 
intercompany loan agreements, contracts and proceeds of sale with gold 
refiners, and the collection bank account operated by GMR for that 
purpose. The security is granted by GMR and other subsidiaries of 
Goldplat, with GPL signing as guarantor. Various positive and negative 
undertakings and covenants are provided in the Loan Facility 
documentation. 
 
   To date, the processing plant expansion at the Kilimapesa Gold Mine 
("Kilimapesa") in Kenya has been funded out of internally-generated 
operating cash flows. With stage one of the expansion commissioned, the 
Company has decided to arrange the Loan Facility to recapitalise the 
group's subsidiaries that have financed the work to date, and to fund 
the expenditure of stage two of the processing plant expansion.  Stage 
two is expected to increase gold production at Kilimapesa from the 
current stage one 60 tonnes per day to 120 tonnes per day, with a target 
of achieving an annualised production rate after stage two of 
approximately 4,500 ounces of gold. 
 
   Gerard Kisbey-Green, CEO of Goldplat commented: "We stated in our 
interim results announced on 20 February 2017 that we were looking at 
various forms of debt capital raising with a view to restructuring the 
group balance sheet and I am very pleased to have agreed this loan 
facility with Scipion. We will use the funds initially to complete stage 
two of the processing plant expansion at Kilimapesa and to repay the 
capital made available to Kilimapesa Gold Limited from other group 
subsidiaries for goods and services rendered. The result will be a 
cleaner and more appropriate group capital structure and availability of 
working capital for our recovery businesses." 
 
   ** ENDS ** 
 
   For further information, visit www.goldplat.com, follow on Twitter 
@GoldPlatPlc or contact: 
 
 
 
 
Gerard Kisbey-Green        CEO Goldplat plc          Tel: [phone] 
Colin Aaronson / Daniel    Grant Thornton UK LLP     Tel: [phone] 
Bush                        (Nominated Adviser) 
Andrew Raca / Justin       VSA Capital Limited       Tel: [phone] 
McKeegan                   (Broker) 
Charlotte Page / Susie     St Brides Partners Ltd    Tel: [phone] 
Geliher                    (Financial PR) 
 
 
   The information contained within this announcement is deemed to 
constitute inside information as stipulated under the Market Abuse 
Regulations (EU) No. 596/2014. Upon the publication of this announcement, 
this inside information is now considered to be in the public domain. 
 
   About Goldplat 
 
 
   Goldplat plc, is an AIM quoted gold recovery services company with two 
market leading operations in South Africa and Ghana. The Company's 
strategy is focussed on utilising its cash flow generated from flagship 
gold recovery operations in Africa to self-fund sustainable growth and 
expansion of niche gold recovery business model. The Company also has a 
small gold mining and exploration portfolio in Kenya, Burkina Faso and 
Ghana and is evaluating various opportunities to create value or 
monetise these assets. 
 
   This announcement is distributed by Nasdaq Corporate Solutions on behalf 
of Nasdaq Corporate Solutions clients. 
 
   The issuer of this announcement warrants that they are solely 
responsible for the content, accuracy and originality of the information 
contained therein. 
 
   Source: Goldplat plc via Globenewswire 
 
 
 
 

(END) Dow Jones Newswires

March 17, 2017 09:45 ET (13:45 GMT)

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