30th May 2006 15:21
GMA Resources PLC30 May 2006 GMA Resources Plc ("GMA" or "the Company") 31 May 2006 Project Financing Update The Company is pleased to announce that ENOR Spa (52% GMA) has negotiatedequipment lease financing for the first phase of mobile equipment for thecurrent construction project at Tirek- Ammessmessa in Algeria. The financing wascompletely negotiated and financed in Algeria with Arab Leasing CorporationS.P.A. The total value of the equipment covered by the lease is • 4,711,318 beforeduties in Algiers. The term of the lease is 4 years with an upfront payment ofapproximately 20%. The equipment can be purchased at the end of the lease for anominal amount. The equipment covered by this lease includes: 6 x CAT 735articulated trucks; 2 x TAMROCK Pantera 1500 drills; 2 x CAT 980 Wheel Loaders;1 x CAT D-8 Dozer; 1 x CAT 365 Hydraulic shovel. The majority of the equipmentis ready for delivery or will be in the next 60 days. The second phase of financing for the remainder of the mobile equipment iscurrently under way and ENOR expects to complete the negotiations before the endof June 2006. ENOR Spa has also entered into an agreement with its two shareholders, GMA (52%)and Sonatrach (48%) for the terms of the USD$20,000,000 project financingrequired for the development of Amessmessa Heap leach plant and the increase ofcapacity at Tirek CIL plant. The terms of the agreements are for 6 semi annualpayments from ENOR to the shareholders starting from January 2008. The interestrate charged on the loan is 4.62%. This rate is dictated by the Bank of Algeriafor related parties. Enquiries: GMA Resources PlcDouglas Perkins - Chief Executive OfficerTel: +44 (0) 20 7253 7670Mobile: +1 514 806 6788 Philip Secrett/Fiona OwenGrant Thornton Corporate FinanceTel: +44 (0) 20 7383 5100 This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
Kemin Resources