Ridge Mining has announced that it has agreed a debt package with South African banks which will provide it with the funds to develop its platinum group metal (pgm) mine.

The company has revealed that a consortium of banks have agreed to deliver loan finance of R610 million for the Blue Ridge platinum project.

Blue Ridge is located on the eastern limb of the Bushveld complex and Ridge believes it can deliver 125,000 ounces of platinum group elements (pge) per year once it is up and running.

At present the mine is scheduled to begin operations in 2008, with the new debt package ensuring that Ridge can begin to undertake development of the mine in early January 2007, the company has revealed.

"The signing of a committed term sheet is the key step towards the finalisation of project finance for Blue Ridge," said Ridge Mining's Finance Director, Donald McAlister.

He added: "We look forward to commencing development in earnest in January 2007 and will report on progress once we have mobilised."

The Blue Ridge mine will be owned 50 per cent by Ridge mining and 50 per cent by Imbani Platinum.

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