Photo by: Duane Daws
JOHANNESBURG (miningweekly.com) – Republic of Congo-focused mineral explorer Kore Potash has received strong interest from South African investors and will now also seek a secondary listing on the JSE, in addition to plans to list on London’s Aim, the company reported on Thursday.
Kore Potash said that the additional public market listings of its securities should increase its share trading liquidity and improve its access to capital markets where there is an understanding of large scale African projects.
The company’s primary asset is the 97%-owned Sintoukola potash permit, comprising three projects. The Kola deposit is the flagship project and is being advanced to construction. The Kola project is expected to be operational in 2022.
Kore Potash will be redomiciled to the UK. Kore UK will become the holder of the issued shares in the company and will be listed on the ASX, JSE and Aim.
The JSE and Aim listings are expected to be completed in early 2018, Kore Potash reported.
Meanwhile the Kore Group also announced that the French government’s export credit agency, BPFIFrance Assurance Support, has confirmed its in principle support for the construction of the Kola asset.
The letter of support is based on the construction of Kola through an engineering, procurement and construction (EPC) contract with the existing French consortium of engineering and construction companies, and the EPC having substantial French content.
Kore said that it estimated that the French element of procurement for the construction, which would be eligible for ECA financing, would be about $500-million to $700-million.
Debt supported by ECA cover is typically attractive, as the repayment is guaranteed.