Gulf hopes to conclude fund raising for Kupang smelter project this month
Monday, October 2 2017 - 02:55 AM WIB
ASX-listed Gulf Manganese Corporation Limited announced Monday that it has received more funds from sophisticated as part of an overall A$12 million fund raising to finance its manganese smelter hub project in Kupang, East Nusa Tenggara Province.
In an update statement on the fund raising, Gulf said it hopes receive the final funding commitments of the investors before the end of October of this year.
The company said that as announced on June 23, $8 million had been received with a further $4 million committed by sophisticated investors to be received not later than 30 September. Since then, $1 million has been received as announced on 31 July 2017.
?Discussions have been held with the sophisticated investors who have confirmed their commitment to support the company with their investment of $3,500,000 as part of the $12,000,000 raising,? Gulf said in the statement. The first part of this investment, $500,000, was made in June in the initial placement. The remaining $3 million was to be received by 30 September 2017.
The investors have agreed with the company that a second tranche of $500,000, making their investment total to date to $1 million, will be transferred immediately with the funds received by the company not later than 6 October.
?These supportive investors, who are existing substantial shareholders committed to advancing the development of the Kupang Smelting Hub Facility, expect to settle the $2,500,000 balance forthwith but not later than the end of October 2017,? Gulf said.
Securities issued for this $500,000 will be escrowed until the full committed funds of $3,000,000 have been received, it added.
Gulf has earlier said that the development of Kupang smelting hub remained on track with the company targeting completion of commissioning and start-up of ferro manganese alloy production in the first quarter of 2018.
Editing by Reiner Simanjuntak