| Tue 3 May 2011, 8:00 | | PAN - Pan African Resources plc - Barberton mines secures revolving credit |
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PAN
PAN
PAN - Pan African Resources plc - Barberton mines secures revolving credit
facility
Pan African Resources plc
(Incorporated and registered in England and Wales under Companies Act 1985 with
registered number 3937466 on 25 February 2000)
Share code on AIM: PAF
Share code on JSE: PAN
ISIN: GB0004300496
(`Pan African` or the `Company`)
BARBERTON MINES SECURES REVOLVING CREDIT FACILITY
Shareholders are advised that the Company`s operating subsidiary, Barberton
Mines (Proprietary) Limited ("Barberton Mines"), has secured final credit
approval for a three year revolving credit facility in the amount of R150
million from Nedbank Limited ("Facility").
This Facility provides the Group with immediate capacity for working capital
purposes and general finance requirements, which would include funding of
organic growth at Barberton Mines and within the Group. The Facility is co-
guaranteed by Pan African and its wholly-owned subsidiary Phoenix Platinum
Mining (Proprietary) Limited, and does not require any form of hedging as a
condition.
Jan Nelson, Pan African`s Chief Executive Officer, commented: "The Pan African
Group continues to be unhedged and debt free, with cash on hand of R150m at the
date of this announcement. The new revolving credit facility from Nedbank
Limited does however provide an efficient funding mechanism to take advantage of
organic growth opportunities at Barberton Mines. It also demonstrates the
confidence of funders in the long-term sustainability of the mine. In this
regard, a feasibility study is currently being completed on treating the Bramber
tailings dam, which if viable could increase the annual production of the mine
by 20koz. A separate treatment plant will have to be constructed to treat the
additional production stream, and this may be funded from the Facility".
ENDS
For further information on Pan African Resources plc, please visit the website
at www.panafricanresources.com
Johannesburg
3 May 2011
JSE Sponsor:
Macquarie First South Advisers (Pty) Limited
Enquiries:
South Africa United Kingdom
Pan African RBC Capital Markets
Jan Nelson, Chief Executive Officer Martin Eales
+27 (0) 11 243 2900 +44 (0) 20 7653 4000
Pan African St James`s Corporate Services
Nicole Spruijt, Public Relations Limited
+27 (0) 11 243 2900 Phil Dexter
+44 (0) 20 7499 3916
Macquarie First South Advisers (Pty) Gable Communications
Limited Justine James
Melanie de Nysschen/ +44 (0) 20 7193 7463
Annerie Britz/ Yvette Labuschagne +44 (0) 7525 324431
+27 (0) 11 583 2000
Date: 03/05/2011 08:00:55 Produced by the JSE SENS Department.
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