Resgen makes first drawdown from extended facility agreement
JOHANNESBURG (miningweekly.com) – JSE-and ASX-listed Resource Generation (Resgen) has made the first drawdown of $2.4-million under an extended $8.4-million facility agreement.
The company reported on March 14 that it had obtained the $8.4-million extension to a March 2014 facility agreement with Noble Resources International, with the additional funds available to Resgen subsidiary Ledjadja Coal in three tranches to September 30. The money is being used to fund the operations and development of the Boikarabelo mine, in South Africa’s Waterberg coalfield.
In a quarterly update to shareholders on Friday, the company said its main focus during the quarter ended March 31, had been to finalise the key material agreements relating to the mine and logistics including the engineering, procurement and construction (EPC) contract for the coal handling and preparation plant (CHPP), the CHPP operations and maintenance contract, the ancillary works EPC contract and the transportation of coal agreement.
It added that progress has been made towards the funding of the rail link EPC contract and that activities continue to be undertaken at the mine site preparing for the arrival of the EPC contractors.
“We are hopeful that this orderly and deliberate process will result in the conclusion of funding arrangements for the project during this year.”
State 1 of the Boikarabelo mine is expected to produce six-million tonnes a year of coal.
Parallel to advancing the development of the mine, Resgen has also continued work on establishing an independent power producer to produce electricity from coal supplied from Boikarabelo.
It expects to submit a proposal to the Department of Energy when the next submission window for the coal-based independent power producer procurement programme opens towards the end of this year.
Comments
The
content
you are trying to access is only available to subscribers.
If you are already a subscriber, you can Login Here.
If you are not a subscriber, you can subscribe now, by selecting one of the below options.
For more information or assistance, please contact us at subscriptions@creamermedia.co.za.
Option 1 (equivalent of R125 a month):
Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format
Option 2 (equivalent of R375 a month):
All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors
including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.
Already a subscriber?
Forgotten your password?
Receive weekly copy of Creamer Media's Engineering News & Mining Weekly magazine (print copy for those in South Africa and e-magazine for those outside of South Africa)
➕
Recieve daily email newsletters
➕
Access to full search results
➕
Access archive of magazine back copies
➕
Access to Projects in Progress
➕
Access to ONE Research Report of your choice in PDF format
RESEARCH CHANNEL AFRICA
R4500 (equivalent of R375 a month)
SUBSCRIBEAll benefits from Option 1
➕
Access to Creamer Media's Research Channel Africa for ALL Research Reports on various industrial and mining sectors, in PDF format, including on:
Electricity
➕
Water
➕
Energy Transition
➕
Hydrogen
➕
Roads, Rail and Ports
➕
Coal
➕
Gold
➕
Platinum
➕
Battery Metals
➕
etc.
Receive all benefits from Option 1 or Option 2 delivered to numerous people at your company
➕
Multiple User names and Passwords for simultaneous log-ins
➕
Intranet integration access to all in your organisation