| Tue 1 Feb 2011, 16:03 | | EPS - Eastern Platinum Limited - Final credit approval received for US$100 |
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EPS
EPS
EPS - Eastern Platinum Limited - Final credit approval received for US$100
Million debt finance
EASTERN PLATINUM LIMITED
(Incorporated in Canada)
(Canadian Registration number BC0722783)
(South African Registration number 2007/006318/10)
Share Code TSX: ELR ISIN: CA2768551038
Share Code AIM: ELR ISIN: CA2768551038
Share Code JSE: EPS ISIN: CA2768551038
February 1, 2011
Trading Symbol: ELR (TSX & AIM) EPS (JSE)
S&P TSX Composite Index
NEWS RELEASE
FINAL CREDIT APPROVAL RECEIVED FOR US$100 MILLION DEBT FINANCE
Eastern Platinum Limited (the "Company" or "Eastplats") is pleased to report
that further to its press release of October 28, 2010 announcing the signing of
a mandate letter, it has now received formal letters of commitment to underwrite
a US$100 million financing package to be used to part fund the development costs
of its Mareesburg Project and the construction costs of the associated
concentrator. As previously reported, the mandated lead arrangers are UniCredit
Bank AG, London Branch and The Standard Bank of South Africa Limited (together
the "MLAs").
The commitments are on the basis of detailed term sheets which have been agreed
with the Company and the MLAs. The terms and conditions of the financing
package include:
- Underwriting by MLAs on a 50/50 basis and not subject to syndication
- Scheduled tenor of 5.5 years with an 18 month grace period
- Separate term loan and revolving loan facilities
- Initial interest rate of US LIBOR + 3.85% rising to US LIBOR + 4.15% for
the last three years of the loan. US one-month LIBOR currently sits at
approximately 0.26%.
- No hedging
The underwriting commitments of the MLAs are subject to acceptable legal
documentation and customary conditions precedent.
Upon the completion of the legal documentation, the Company will have
approximately US$450 million in cash and undrawn credit facilities available for
development of its Eastern Limb projects and for general corporate purposes.
Total shares issued and outstanding: 908,041,254
For further information contact:
Investor Relations
Website: www.eastplats.com
Email: info@eastplats.com
Tel: +1-604-685-6851, Fax: +1-604-685-6493
NOMAD:
Mark Williams / Ryan Cohen
Canaccord Genuity Limited, London
Email: MWilliams@canaccordgenuity.com / rcohen@canaccordgenuity.com
Tel: +44 20 7050 6500
JSE SPONSOR:
Johan Fourie
PSG Capital (Pty) Limited
Email: johanf@psgcapital.com
Tel: +27 21 887 9602
No stock exchange, securities commission or other regulatory authority has
approved or disapproved the information contained herein.
Certain statements included herein constitute "forward-looking statements"
within the meaning of applicable Canadian securities legislation. These forward-
looking statements are based on certain assumptions by Eastplats and as such are
not a guarantee of future performance. Actual results could differ materially
from those expressed or implied in such forward-looking statements due to
factors such as general economic and market conditions, increased costs of
production and a decline in metal prices. Eastplats is under no obligation to
update or revise any forward-looking statements, whether as a result of new
information, future events or otherwise, except as required by applicable laws.
Date: 01/02/2011 16:03:39 Produced by the JSE SENS Department.
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