Nedlands-based gold company Dioro Exploration NL has secured two loans worth $14 million with BNP Paribas to meet ongoing development costs for two of its assets in Western Australia.
Nedlands-based gold company Dioro Exploration NL has secured two loans worth $14 million with BNP Paribas to meet ongoing development costs for two of its assets in Western Australia.
The company today announced it had received a $10 million standby debt facility which will ensure that it has sufficient cash reserves to fund cost requirements at its Frog's Leg joint venture and South Kalgoorlie project.
The facility will also help finance a large ore stockpile that Dioro plans to establish at the Jubilee Mill, within the South Kalgoorlie project area.
Meanwhile a $4 million performance guarantee facility will allow Dioro to replace cash backed environmental rehabilitation bonds with debt funded bonds, further increasing the company's available cash reserves.
Dioro has also issued BNP Paribas with options to purchase up to three million shares in Dioro at any time before 30 June 2011 at a price of 64 cents per share.
Dioro is forecasting to produce in excess of 9,000 ounces of gold per month in the December quarter and produce in excess of 90,000oz for calendar 2009.
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