Anglo Asian Mining plc ("Anglo Asian" or the "Company"), the AIM-listed gold, copper and silver producer operating in Azerbaijan, announces that it has drawn down a $10 million tranche from the International Bank of Azerbaijan ("IBA") under its revolving credit facility, APA-Economics reports.
This credit facility was suspended whilst the Micon environmental review was carried out. However, this drawdown of $10 million follows the recognition by the Government of Azerbaijan that there is no environmental contamination at Gedabek following the release of the Micon environmental report.
The $10 million tranche has a fixed interest rate of 6.5 per cent. and is repayable over 3 years. Interest is paid monthly and there is a six-month capital repayment grace period. The loan is then repayable in equal monthly instalments over the next 30 months. The funds will be used for capital and other expenditure to restart the Group's operations.
The loan has been drawn down under the Group's AZN55 million ($32.3 million) credit line. $3.5 million was also drawn down in early July 2023 as a one-year fixed term working capital loan with a fixed rate interest of 5.5 per cent. Interest is paid monthly on the loan and the principal is repayable at the end of the term.
The Group's remaining undrawn credit line with IBA is $18.8 million. The Group has also drawn down a $5.6 million term loan with Access Bank in Azerbaijan which is secured against a $6.0 million deposit with the bank and carries an interest rate of 6 per cent. At 6 September 2023, the Group had cash of $20.3 million and total borrowings of $19.1 million.
Source: Azeri-Press News Agency