THE BOURSE WHISPERER: Gold Road Resources (ASX: GOR) has inked a Revolving Corporate, Working Capital and Gold Hedging Agreement (collectively to be known as – Finance Facilities) with a financing syndicate comprising ING Bank Australia, National Australia Bank and Société Générale Hong Kong.
Gold Road Resources said the Finance Facilities had been more than six months in the making and are part of the company’s prudent management of financial assets.
“These Finance Facilities are a prudent move as we transition the company from being an explorer with a development asset to an Australian mid-tier gold producer with significant exploration upside and the financial capability and flexibility to grow further,” Gold Road Resources managing director & CEO Ian Murray said in the company’s announcement to the Australian Securities Exchange.
“The establishment of these financing facilities provides a strong platform to ensure the continuance of the planned exploration across all the Yamarna tenements, as well as ensuring the Gruyere JV is supported through the important pre-completion and commissioning phase.
“The additional discretionary gold hedging capacity affords Gold Road the flexibility to appropriately manage its gold price risk exposures as Gruyere moves into production.
“The financing syndicate provided these facilities on very competitive pricing and terms because of the quality of the Gruyere project, our highly regarded JV partner and manager, and the advanced stage of construction.”