€52M loan for smelting hub

GULF Manganese has signed a binding term sheet for a €52 million loan with Glacier International, Legal and General and HSBC Bank, with the money to be available at the end of January.
€52M loan for smelting hub €52M loan for smelting hub €52M loan for smelting hub €52M loan for smelting hub €52M loan for smelting hub

Gulf chairman Craig Munro

Staff Reporter

The company says it will now be fully funded to complete the construction and commissioning of the first two smelting furnaces at the Kupang Smelting Hub facility in West Timor, Indonesia. 
The facility is currently 60% complete and a further six to seven months of work is required to complete the first two smelting furnaces.
"This loan facility also provides Gulf with the ability to ramp-up its high-grade manganese mining and exploration in Indonesia taking advantage of its licence to export manganese concentrate and to advance its strategic joint venture with Iron Fortune [for exploration] in Timor-Leste," the company said.
Gulf MD Hamish Bohannan said the company had a clear line of sight on the pouring of first metal at Kupang in the third quarter of 2020. 
"With $13 million required to complete the construction and commissioning of our first two smelters, we now have ample capacity to fast-track high-impact mining and exploration programs targeting Indonesia's abundance of high-grade manganese ore deposits. "
Gulf chairman Craig Munro said the loan was a transformational step for Gulf, putting the company on the road to becoming a leading global ultra-low carbon ferromanganese producer this year.
"I would like to thank our management team for their efforts in securing this funding facility and I know the team is now eager to turn its attention towards executing a number of exciting operational milestones. The company's shareholders have also been incredibly supportive throughout this process and I would like to thank you all for your patience," Munro said.