Weatherly leaps on new loan agreement

20th Sep 2013 12:48

Shares in Weatherly leapt 27 per cent on Friday after the mining group announced the successful execution of the loan documentation with Orion Mine Finance Fund for the company's flagship Tschudi project in Namibia.Orion will provide a $91m loan facility to meet the full funding requirement of the project to 17,000 tonnes per annum. The loan has been amended from the original December 2012 agreement, giving the company a more favourable repayment timetable covering six-and-a-half years.Chief Executive Officer Rod Webster said: "We are pleased with the outcome of our negotiations with Orion Mine Finance which have been successfully completed. We now look forward to commencing work on the development of the project."The full facility comprises a secured loan of $80m, a project cost overrun facility of a further $8m and $3m to assume the existing Louis Dreyfus loan.NR