Eland Platinum Mines, subsidiary of Eland Platinum Holdings, has signed a R800 million project finance facility with Nedland Capital.

The finance facility will be used to complete the development of open cast and underground mining operations, ore processing facilities and associated infrastructure at the Eland Mines Elandsfontein platinum mine, near Brits.

The site will be developed to mine, produce and treat platinum group metals (pgm) ore.

Mark Tyler, Head of Mining & Resource Project Finance at Nedbank Capital, said: "Eland Platinum's construction of its platinum mine represents a significant investment in the South African resources industry. We are proud to be associated with a mining project with such substance."

Under the agreement, Nedbank Capital will be the sole arranger and underwriter of a R800 million project finance facility, along with a R100 million standby debt facility, for Eland Mines.

David Salter, Eland Platinum Group Managing Director, said: "These financing arrangements will allow us to complete the development of the Elandsfontein mine on schedule and to ship concentrates during Quarter 4 of 2007.

"We commend Nedbank Capital for the professional manner in which it finalised the debt package, and look forward to executing the various project agreements ahead of the first draw-down within the next month."

Source:

Eland secures R800m finance facility, 10/04/06

http://www.miningweekly.co.za/article.php?a_id=107006


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