- Emerging mineral sands developer Strandline Resources (STA) is edging closer to completing a funding deal for its Coburn Project in WA
- The Northern Australia Infrastructure Facility (NAIF) agreed in June to loan up to $150 million to Strandline
- Strandline has now been advised by the NAIF that the funding deal should be finalised sometime before the end of the year
- Alongside the NAIF loan, the mineral sands developer says it’s in the late stages of securing an additional $100 million from a lender
- Once the two different funding avenues are set in stone, Strandline will begin ramping up construction plans for Coburn
- Shares in STA are currently trading down a slight 2.13 per cent at 23 cents each
Strandline Resources (STA) is edging closer to completing a key $150 million funding deal for its Coburn Mineral Sands Project in WA.
The emerging mineral sands developer first inked a deal with the Northern Australia Infrastructure Facility (NAIF), a Commonwealth initiative, back in June.
The company now advises that the NAIF funding deal should be finalised sometime before the end of the year, giving it access to up to $150 million in capital.
Alongside the NAIF loan, Strandline also revealed in today’s business update that it was in the late stages of securing an additional $100 million from a lender.
The developer said it had progressed negotiations with several shortlisted lenders,
including investment banks, specialist mining credit funds and senior secured bond issuers for a seven-year facility.
Commenting on the funding progress, Strandline Managing Director Luke Graham said it was a positive step towards Coburn’s development.
“The company looks forward to finalising the funding structure as soon as possible and moving swiftly to ramp up construction,” he said.
Strandline has already begun early site works at Coburn and will ramp up construction once the two funding avenues are set in stone.
“Front-end engineering design, long lead procurement and site early works are all underway and major contracts are being awarded to proven construction and operations partners,” the MD added.
Following today’s funding update, shares in Strandline Resources are currently trading down a slight 2.13 per cent at 23 cents each at 1:11 pm AEDT.