27/01/2015 - 15:19

Triton secures $20m for Nicanda Hill

27/01/2015 - 15:19

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Subiaco-based explorer Triton Minerals has secured a funding facility of up to $20 million over two years with Lone Star Investments, to assist in the development of its Nicanda Hill graphite and vanadium deposit in Mozambique.

Triton secures $20m for Nicanda Hill

Subiaco-based explorer Triton Minerals has secured a funding facility of up to $20 million over two years with Lone Star Investments, to assist in the development of its Nicanda Hill graphite and vanadium deposit in Mozambique.

In a statement today, Triton said the facility with Long State Investments would allow the company to focus on advancing discussions with potential offtake partners, complete an environmental study and a definitive feasibility study on Nicanda Hill by the end of the year.

Under the terms of the deal, Triton will have full discretion to access the $20 million facility, including control of the share issue price, the right to determine the amount of funds raised through placement tranches and when the placement of shares will occur.

Triton can utilise the facility at any time during the two-year term or terminate it early without penalty.

“Obtaining the Long State facility is a great outcome for the company, as, despite current market conditions, it provides Triton with security and the ability to continue with the rapid development of the Nicanda Hill deposit,” Triton managing director Bradley Boyle said.

Long State is a Hong Kong-based investment group with a focus on energy and mining sectors.

Meanwhile, Triton has also extended a second tranche payment of $US10 million in cash and shares to acquire the remaining 20 per cent interest in its joint venture partner Grafex, along with all of the joint venture’s Mozambique graphite projects, by a further 12 months.

During the extension period, Triton said it would aim to pay a series of instalments of cash and shares to gain 100 per cent ownership of Grafex.

Triton shares closed  5.4 per cent lower at 17.5 cents per share. 

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