Perseus Mining has finalised a financing plan for its Yaouré gold mine located in Cote d’Ivoire after it accepted an offer from three international banks providing $150m in corporate debt facilities.
The cash advance will be provided by a consortium of three banks including Australia’s Macquarie Bank, Nedbank from South Africa and Société Générale of France.
Perseus plans to proceed with the development of the Yaouré gold mine in accordance with its strategic plan of producing more than 500,000 ounces of gold annually from 2022.
Perseus Mining CEO and managing director Jeff Quartermaine said: “Perseus acquired Amara Mining in April 2016 with the specific objective of developing the Yaouré, which was then considered one of the best undeveloped gold resources in West Africa.”
The $265m Yaouré gold project will also secure funding from more than $80m of cash and bullion currently on hand, and additional contributions from future operational cash flows and proceeds from the exercise of warrants that expire later this month.
The final application for the grant of an exploitation permit to develop and operate the mine is due for consideration on 10 April by the Ivorian Cabinet. This marks the final permit to start developing the mine.
Upon receiving the permit, Perseus and the Ivorian departments of Mining and Geology and Budget and Finance will negotiate the mining convention terms to confirm fiscal stability that will apply during the life of the Yaouré gold mine.
Perseus awarded an engineering and supply contract to Australian engineering company Lycopodium for the Yaouré gold mine project in January this year.
Preliminary site works are scheduled to commence soon, with full scale development of Yaouré and associated infrastructure set to start later this month. The first gold from the mine is expected to be produced in December next year.