J Resources considers vendor financing from China
Saturday, June 17 2017 - 04:01 AM WIB
IDX-listed gold mining company PT J Resources Tbk is considering vendor financing from China to help finance the construction of production facilities at its Doup and Pani gold mine projects located in North Sulawesi and Gorontalo provinces, respectively.
?We have received vendor financing offers from China,? said William Surnata, Finance Director of J Resources, on Thursday, but did not disclose the name of the Chinese vendors.
He said that the vendor financing is one of the options aside from bank loans, bonds, and rights issue being explored by the company to finance the construction of the Doup and Pani production facilities which are estimated to require funds worth up to US$3 million. He added that the company is expected to make decision in the third quarter of this year.
J Resources hopes to complete the production facility at the Pani gold mine next year, and at the Doup mine in the following year. The company said last month that Doup is expected to start production mid-2019 and to contribute output of 100,000 oz per year for 10 years when it reaches full production. Doup and Pani gold mines, each has reserves of about 1 million oz.
Edting by Reiner Simanjuntak