Besra shareholders back $300m offtake deal
PERTH (miningweekly.com) – The shareholders of ASX-listed Besra Gold has approved a $300-million gold pre-purchase and offtake funding deal with shareholder Quantum Metal Recovery.
Under the facility, Quantum provided an initial $5-million deposit, which will be drawn down before the end of July, and could provide up to $10-million in funding a month, all of which is payable into a drawdown account controlled by Besra.
In consideration for the facility, Besra has agreed to deliver to Quantum up to three-million ounces of future gold produced from the company’s projects. Deliveries to Quantum are to be made from all gold produced up to 25 000 oz, 80% of all gold produced from 25 001 oz to 120 000 oz and thereafter 65% of all gold produced, leaving 35% of gold production unassigned.
Besra said on Tuesday that the facility would allow the company to fully fund production at the Bau gold project and appraise other deposits within the Bau goldfield corridor.
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