- Westgold Resources (ASX:WGX) secures a $100 million revolving corporate facility (RCF) with ING Bank and Societe Generale
- The RCF offers flexibility for general corporate purposes and has a three-year term
- Westgold retains discretion over gold hedging decisions, remaining free of fixed forward hedges
- The move signifies confidence in Westgold’s growth plans and provides additional firepower for emerging opportunities
- Westgold last traded at $2.11
Westgold Resources (ASX:WGX) has secured a $100 million revolving corporate facility (RCF) through a secured syndicated facility agreement (SFA) with ING Bank and Societe Generale.
The RCF, designed for general corporate purposes, has a three-year term and provides Westgold with increased financial flexibility.
Westgold has maintained autonomy in its gold hedging decisions, as there are no mandatory gold hedging requirements attached to the facility conditions.
This decision allows the company to fully leverage gold sales to the spot price, enhancing its ability to capitalise on market opportunities.
“Westgold is confident in the trajectory of our business and sees the support of two tier one international financiers, such as ING Bank and Societe Generale as strong validation of the company’s growth plans,” Westgold Managing Director Wayne Bramwell said.
With $217 million in cash and bullion at the end of Q1, FY24, Westgold is well-funded to develop organic growth assets, including the Great Fingall mine at Cue.
“With a strong balance sheet and growing cash flows from our operations, this new corporate facility provides an additional $100 million in firepower to move quickly on opportunities we see emerging,” Mr Bramwell added.
Westgold Resources last traded at $2.11.