Kalium Lakes Limited has announced that it has reached financial close and is now able to proceed with first drawdown on its project debt facilities underpinning the ongoing development of its Beyondie Sulphate of Potash Project (BSOPP).
As announced on 2 July 2019, Kalium Lakes secured AUS$102 million of senior debt funding from KfW IPEX-Bank, of which approximately half is supported by a guarantee from the German Government Export Credit Agency, Euler Hermes. In addition, AUS$74 million of senior debt funding has been secured from the Northern Australia Infrastructure Facility (NAIF) and AUS$15 million in working capital facilities (and additional hedging lines) from Westpac. Financial close followed the satisfaction of all required conditions precedent under the project debt facilities.
Commenting on the milestone, the company’s Chief Financial Officer, Chris Achurch said: “Achieving financial close and enabling Kalium Lakes to proceed with the first drawdown under the project debt facilities is a significant milestone, inclusive of more than 165 conditions precedent being met to the lenders’ satisfaction.
“We wish to thank the company’s lenders KfW, NAIF, Euler Hermes and Westpac, that have demonstrated strong support for this project and worked very closely with the Kalium Lakes’ corporate office. It would also not have been possible without the hard work and persistence displayed by each of the legal firms representing the senior lenders, DLA Piper (for KLL), Allen & Overy (for KfW), Allens (for NAIF) and Herbert Smith Freehills (for Westpac) .
“Our team is extremely pleased with progress at Beyondie, as construction is tracking on time and within budget with the project already 19% complete at the end of November 2019. The company has already spent more than AUS$50 million and committed more than AUS$200 million of work to date.
“Support from the company’s financial adviser, BurnVoir Corporate Finance, has also been instrumental in Kalium Lakes’ success since its listing in December 2016,” Achurch said.
Read the article online at: https://www.globalminingreview.com/finance-business/10122019/kalium-lakes-achieves-financial-close/