Paladin refinances Namibia mine as it wraps up minority sale
Uranium miner Paladin Energy has finalised the sale of a minority interest in its Langer Heinrich operation, in Namibia, and is now using the money to refinance the project’s finance facility.
Paladin has sold a 25% stake in the uranium project to a subsidiary of China National Nuclear Corporation (CNNC) for $190-million, while an offtake component of the deal would allow CNNC to buy its pro rata share of production at the prevailing market spot price.
Paladin told shareholders last week that the company had refinanced the existing $110-million project finance facility and the $20-million working capital facility into a new $70-million syndicated loan facility.
The proceeds from the Langer Heinrich minority sale would be used to repay about $30.83-million of the existing facility, taking the outstanding balance to $70-million.
Paladin MD and CEO John Borshoff said the new facility would provide significant cash flow benefits and further strengthen Paladin’s financial position, adding that the yearly principal repayments would be reduced by $32.4-million over the first three-and-a-half years of the facility, from $18.33-million a year to A$9.09-million a year, with the first repayment of $4.55-million only due at the end of December.
“Once again, Paladin has been able to refinance the facility in a tough uranium price environment, while significantly reducing the security requirements and medium- term principal repayments,” said Borshoff.
He added that the miner continued to focus on ways to reduce its overall debt levels, and the refinancing was another step in this process.
Article Enquiry
Email Article
Save Article
Feedback
To advertise email advertising@creamermedia.co.za or click here
Research Reports
Projects
Latest Multimedia
Latest News
Showroom
Complete range of security sealing solutions including security seals bags and labels.
VISIT SHOWROOM
Sulzer South Africa, established in 1922, partners with critical industries like power, oil & gas, water, mining, and chemicals to boost...
VISIT SHOWROOM
Announcements
What's On
Subscribe to improve your user experience...
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
