PENINSULAR GOLD LIMITED Regulatory Story
Go to market news section
Peninsular Gold Limited PGL Released 13:00 01Jun2015
Environmental Update and Raub Operations Restart
RNS Number : 8116O Peninsular Gold Limited
01 June 2015
PENINSULAR GOLD LIMITED ('Peninsular' or the 'Company') Company Update Environmental Update
On 2 December 2014 the Company announced that the environmental authorities had sought to attach additional requirements to the environmental consent for its wholly owned subsidiary, Raub Australian Gold Mining Sdn. Bhd.'s ("RAGM") operations at Raub. The Company is now pleased to announce that the environmental authorities have acknowledged that RAGM was at all times in compliance with the conditions given for RAGM's environmental approval.
This acknowledgement confirms that there are no amended or additional requirements relating to RAGM's environmental approval and the location of its tailings dams.
With the confirmation by the authorities that the tailings storage facilities matter has been resolved and the current tailings and planned tailings facilities are in accordance with the requirements, the work for the restart of the Raub operation can proceed. Work has been underway on site and with this matter cleared management now anticipate being able to resume gold production during July 2015.
Financing
As set out in the Company's announcement of 23 January 2015, the Company had raised £1.8 million by way of convertible redeemable unsecured loan notes ("2015 Loan Notes") which were to finance the working capital requirements for the re‐commencement of operations at Raub.
The Group has obtained a deferral of the repayment of £1.2 million convertible loan notes ("2013 Loan Notes") which were due for repayment on 22 December 2014, until 23 June 2015. Additionally, the Group has obtained deferrals until June 2015 of its debt facilities with its Malaysian banking partners (Bank Rakyat Kerjasama Rakyat Malaysia Bhd. ("Bank Rakyat") and Alkhair International Islamic Bank Ltd. ("Alkhair") who have c.£18 million of outstanding loans and require servicing in the region of £140,000 per month, which is due to increase to approximately £450,000 per month from the end of June 2015 as capital as well as interest
repayments fall due on the Bank Rakyat loan. The Company is in active discussions to seek further deferrals and/ or obtain refinancing of the 2013 Loan Notes, Bank Rakyat and Alkhair repayment obligations as due to the current lack of production at Raub it does not have sufficient operational cashflows to meet repayments for the Group's borrowing facilities. The Company is currently in discussions with several interested parties in relation to a fund raising. Management are confident of securing additional funds of up to £4 million during June 2015, however given the preliminary and non‐binding nature of the discussions, there can presently be no certainty that a fund raising will be successfully concluded.
Dato' Sri Andrew TY Kam Chairman and Chief Executive Peninsular Gold Limited Tel: +60 (0)3 2698 8381 | Patrick Watson Finance Director Peninsular Gold Ltd. Tel: +44 (0)7799 885653 |
Samantha Harrison or Stephen Francavilla Nominated Advisor RFC Ambrian Limited Tel: +44 (0)20 3440 6800 | Martin Lampshire Broker Daniel Stewart & Co. Ltd. Tel: +44 (0)20 7776 6936 |
This information is provided by RNS
The company news service from the London Stock Exchange
END
MSCDMGGVMMKGKZM
CLOSE
I I I I I I I
t i
tr j r rt f t i t r t r t i t r
li
t i
tr j r rt f t i t r t r t i t r
li
t i
tr j r rt f t i t r t r t i t r
li
©2014 London Stock Exchange plc. All rights reserved
Environmental Update and Raub Operations Restart ‐ RNS
|
distributed by
|
