Trans-Siberian Gold inks second debt facility at reduced cost
Updated : 14:08
Trans-Siberian Gold clinched a second debt facility at a reduced cost.
The AIM-listed miner's wholly owned subsidiary ZAO Trevozhnoye Zarevo entered into an agreement with VTB Bank for an additional $5m debt facility.
As with the $15.0m refinancing announced on 20 June, the UK-based resources company was able to secure a 30% reduction in the rate of interest it would have to pay on it, 6.2% per year.
That, said CEO Dmitry Khilov, would help the company "to maintain flexibility for growth and development"
The facility was for a three-year term, payable on the loan expiry date.
Established in 2000, Trans-Siberian Gold's stated objective was to acquire and develop a portfolio of quality gold mining assets in Russia.
TSG was also focused on taking full ownership of its projects rather than collaborating on a joint-venture with a local partner.
As of 1403 BST shares in the outfit were down by 3.61% to 40.0p.