REG - Bushveld Minerals Ld - Further update on Outstanding Funds

Bushveld MineralsAnnouncement

16/02/2024 07:15

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RNS Number : 4200D  Bushveld Minerals Limited  16 February 2024

Market Abuse Regulation ("MAR") Disclosure

 

This announcement contains inside information for the purposes of Article 7 of
the Market Abuse Regulation (EU) 596/2014 as it forms part of UK domestic law
by virtue of the European Union (Withdrawal) Act 2018 ("MAR"), and is
disclosed in accordance with the Company's obligations under Article 17 of
MAR.

 

16 February 2024

Bushveld Minerals Limited

("Bushveld" or the "Company")

Further update on Outstanding Funds

 

Further to the Company's announcement on 19 January 2024, Bushveld Minerals
Limited (AIM: BMN), the primary vanadium producer, is pleased to announce that
today it has received an additional ZAR76 million (~US$4 million) from
Southern Point Resources ("SPR") which has been provided on an interest free
basis and will be repaid once SPR provides Bushveld with the entire US$12.5
million, pursuant to the SPR subscription agreement (the "Subscription
Agreement"). The Company has now received a total of ZAR116 million (~US$6
million) from SPR as an interest free loan. SPR has communicated that the full
US$12.5 million will be paid no later than 28 February 2024.

 

As previously mentioned, under the Subscription Agreement, SPR was due to
transfer the US$12.5 million from an offshore bank account into
Bushveld's UK bank account. However, the payments received to date have been
paid into a Bushveld subsidiary's South African bank account from SPR's bank
account in South Africa. If the US$6 million received to date were to be used
to satisfy SPR's obligation under the Subscription Agreement, approval of
the South African Reserve Bank would have been required, which would have
resulted in further delays in the flow of funds. Until the entire US$12.5
million is received, SPR remains in default of the Subscription Agreement.

 

The Company lost 11 and 3 days of production in January at Vanchem and Vametco
respectively due to the delayed settlement. Vametco is undergoing a
maintenance shutdown and is expected to restart shortly. Vanchem is operating
at near full capacity.

 

The Board continues to monitor the situation closely and is working with its
creditors and stakeholders to manage the financial condition of the Company.

 

 

Enquiries: info@Bushveldminerals.com (mailto:info@Bushveldminerals.com)

 Bushveld Minerals Limited                                                                     +27 (0) 11 268 6555
 Craig Coltman, Chief Executive Officer
 Chika Edeh, Head of Investor Relations

 SP Angel Corporate Finance LLP                          Nominated Adviser & Joint Broker      +44 (0) 20 3470 0470
 Richard Morrison / Charlie Bouverat
 Grant Barker / Richard Parlons

 Hannam & Partners                                       Joint Broker                          +44 (0) 20 7907 8500
 Andrew Chubb / Matt Hasson / Jay Ashfield

 Tavistock                                               Financial PR                          +44 (0) 207 920 3150
 Gareth Tredway / Tara Vivian-Neal / James Whitaker

 

 

 

ENDS

 

 

ABOUT BUSHVELD MINERALS LIMITED

Bushveld Minerals is a primary vanadium producer, it is one of only three
operating primary vanadium producers. Bushveld has a diversified vanadium
product portfolio serving the needs of the steel, energy and chemical sectors.

Detailed information on the Company and progress to date can be accessed on
the website www.bushveldminerals.com (http://www.bushveldminerals.com)

 

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