REG - Anglo Asian Mining - Revolving Credit Facility Agreement

Anglo Asian MiningAnnouncement

09/03/2023 07:00

For best results when printing this announcement, please click on link below:
http://newsfile.refinitiv.com/getnewsfile/v1/story?guid=urn:newsml:reuters.com:20230309:nRSI3640Sa&default-theme=true

RNS Number : 3640S  Anglo Asian Mining PLC  09 March 2023

9 March 2023

 

Anglo Asian Mining PLC

Revolving Credit Facility Agreement

 

Anglo Asian Mining PLC ("Anglo Asian" or the "Company"), the AIM listed gold,
copper and silver producer primarily focused in Azerbaijan, is pleased to
announce it has signed an agreement for a new AZN 55 million (US$32.3 million)
revolving credit facility (the "Facility") with the International Bank of
Azerbaijan.

 

The seven-year revolving credit facility was entered into through Anglo
Asian's wholly owned operating subsidiary, Azerbaijan International Mining
Company ("AIMC"). It will provide both additional finance and operational
flexibility for the Company's expansion plans. No drawdown has currently been
made from the facility. The main terms of the Facility are set out below in
Appendix One.

 

The agreement represents another important step in Anglo Asian preparing for
the implementation of its medium-term growth plans, culminating in
establishing the Company as a mid-tier copper-focused mining company. These
plans will be published later this month.

 

Anglo Asian, CEO Reza Vaziri, commented:

"We are pleased to sign a new revolving credit facility with the International
Bank of Azerbaijan, another milestone in the preparation of rolling out our
medium-term operational expansion plans. The facility was negotiated on a
non-secured basis which demonstrates the confidence of local Azeri financial
institutions in our business. We see considerable potential across our
portfolio of exploration and development stage assets and look forward to
driving the Company's progression with this additional capital support."

 

All references to "AZN" are to Azerbaijan Manat. An exchange rate of US$1 =
AZN1.7 has been used.

 

Market Abuse Regulation (MAR) Disclosure

Certain information contained in this announcement would have been deemed
inside information for the purposes of Article 7 of Regulation (EU) No
596/2014, which was incorporated into UK law by the European Union
(Withdrawal) Act 2018, until the release of this announcement.

 

For further information please contact:

 

 Anglo Asian Mining plc
 Reza Vaziri, Chief Executive Officer                           Tel: +994 12 596 3350
 Bill Morgan, Chief Financial Officer                           Tel: +994 502 910 400
 Stephen Westhead, Vice President                               Tel: +994 502 916 894

 SP Angel Corporate Finance LLP (Nominated Adviser and Broker)  Tel: +44 (0) 20 3470 0470

 Ewan Leggat

 Adam Cowl

 Hudson Sandler (Financial PR)                                  Tel: +44 0) 20 7796 4133

 Charlie Jack

 Harry Griffiths

 

Appendix One

Main terms of the Facility

·     The borrower is Azerbaijan International Mining Company, with the
amount of the Facility being AZN 55 million (US$32.3 million) from 1 March
2023 to 31 December 2030

·     The loan is guaranteed by Anglo Asian and RV Investment Group
Services LLC, and borrowings will be unsecured other than a pledge that will
be granted over any equipment purchased from drawings under the Facility

·      Amounts drawn under the Facility will be used for the furtherance
on AIMC's business operations in Azerbaijan

·      Drawdown of the Facility can be in either AZN or US dollars and
the repayment date of each tranche can be specified by AIMC, tranches will be
repaid in the same currency as that drawn down and can be reborrowed

·     Until 31 December 2023, the interest rate on AZN drawings will be
from 10 to 12 per cent. depending on the repayment date and for US dollars
from 5.5 per cent to 7 per cent. depending on the repayment date

·    From 1 January 2024, the interest rates may be increased by 0.5 per
cent. for each one per cent. increase in the US Federal reserve rate subject
to local market conditions.

 

Notes to editors

Anglo Asian Mining plc (AIM:AAZ) is a gold, copper and silver producer
in south-west Asia with a broad portfolio of production and exploration
assets in Azerbaijan. The Company produced 57,618 gold equivalent ounces
("GEOs") for the year ended 31 December 2022.

 

In December 2021, the Company undertook a private placement which acquired
19.8 per cent. of Libero Copper & Gold Corporation ("Libero"). Libero is
listed on the TSX Venture Exchange in Canada and owns, or has the option
to acquire, several copper exploration properties in North and South America,
including Mocoa in Colombia, one of the world's largest undeveloped
copper-molybdenum resources. Two further follow-on investments have been made
in Libero to maintain the Company's shareholding at 19.8 per cent.

 

On 5 July 2022, the Parliament of Azerbaijan ratified amendments to the
Company's Production Sharing Agreement, which granted it legal title to three
additional concessions with a combined area of 882 square kilometres,
including the Garadagh porphyry copper deposit, with a Soviet classified
resource of over 300,000 tonnes of copper. https://www.angloasianmining.com/
(https://www.angloasianmining.com/)

 

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact
rns@lseg.com (mailto:rns@lseg.com)
 or visit
www.rns.com (http://www.rns.com/)
.

RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our
Privacy Policy (https://www.lseg.com/privacy-and-cookie-policy)
.   END  AGRFLFEAVSITIIV