REG - Hummingbird Res. - Coris Loan Refinancing & Related Party Transaction

Hummingbird ResourcesAnnouncement

31/12/2024 07:00

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RNS Number : 6789R  Hummingbird Resources PLC  31 December 2024

 

 

Hummingbird Resources plc / Ticker: HUM / Index: AIM / Sector: Mining

 

31 December 2024

Hummingbird Resources plc

("Hummingbird", the "Group" or the "Company")

Refinancing of Coris Loans & Related Party Transaction

Further to the Company's announcement of 24 December 2024 in which the Company
indicated that it was actively working with Nioko Resources Corporation
("Nioko") regarding short-term financial support to address Hummingbird's
immediate financial pressures, the Company is pleased to announce that it has
signed a new loan agreement ("Loan Agreement") in the amount of approximately
US$35.6 million ("Loan Amounts") to support the cash flow requirements of the
Company's Malian subsidiary, Société des Mines de Komana ("SMK").

Under the terms of the agreement, the loan is repayable on 31 December 2025
(both principal and accrued interest at 9% per annum). The Loan Amounts are
unsecured, but the Loan Agreement provides that they will in due course
benefit from the security already granted to Coris in connection with other
financings and on the same terms.

The Loan Agreement includes customary event of default provisions. The Loan
Amounts also become repayable from the proceeds of a financing by a third
party, other than the Coris group or a supplier, following the recommended
cash offer by Nioko announced on 16 December 2024 having become or been
declared unconditional.

Related Party Transaction

The independent directors of the Company, being those other than Oumar
Toguyeni and Geoff Eyre, having consulted with the Company's Nominated
Adviser, Strand Hanson Limited, consider the terms governing the Loan
Agreement to be fair and reasonable insofar as the Company's shareholders are
concerned.

Geoff Eyre, Interim CEO of Hummingbird Resources plc, commented:

"The refinancing of these loans is another critical step to enable the Company
to secure funding to alleviate Hummingbird's immediate financial needs. The
constructive engagement with Coris also demonstrates its commitment to
supporting Hummingbird during this challenging period as the Company works
towards achieving self-sustaining cashflows from operations."

**ENDS**

Notes to Editors:

Hummingbird Resources plc (AIM: HUM) is a leading multi-asset,
multi-jurisdiction gold producing company, member of the World Gold Council
and founding member of Single Mine Origin (www.singlemineorigin.com). The
Company currently has two core gold projects, the operational Yanfolila Gold
Mine in Mali, and the Kouroussa Gold Mine in Guinea. Furthermore, the Company
has a controlling interest in the Dugbe Gold Project in Liberia that is being
developed by joint venture partners, Pasofino Gold Limited. The final
feasibility results on Dugbe showcase 2.76Moz in Reserves and strong economics
such as a 3.5-year capex payback period once in production, and a 14-year life
of mine at a low AISC profile. Our vision is to continue to grow our asset
base, producing profitable ounces, while central to all we do being our
Environmental, Social & Governance ("ESG") policies and practices.

For further information, please visit Hummingbirdresources.co.uk
(https://www.hummingbirdresources.co.uk/)  or contact:

 

 

 Geoff Eyre, Interim CEO  Hummingbird Resources plc  Tel: +44 (0) 20 7409 6660

 Thomas Hill, FD

 Edward Montgomery, CD
 James Spinney            Strand Hanson Limited      Tel: +44 (0) 20 7409 3494

 Ritchie Balmer           Nominated Adviser
 James Asensio            Canaccord Genuity Limited  Tel: +44 (0) 20 7523 8000

 Charlie Hammond          Broker
 Bobby Morse              Buchanan                   Tel:  +44 (0) 20 7466 5000

 Oonagh Reidy             Financial PR/IR            Email: HUM@buchanan.uk.com

 George Pope

 

 

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