Bulawayo Mining Company Signs $30 Million Loan Term Sheet

Bulawayo Mining Company (Private) Limited, a subsidiary of Namib Minerals, signed a nonbinding term sheet with Ecobank Zimbabwe Limited for a proposed $30 million, 36-month non-dilutive loan facility. The funding targets the resource-definition and bankability programme at Redwing Mine, specifically covering drilling equipment, milling plant maintenance and expansion, hoist-related expenditures, and further exploration to expand the mine's resource base.

This proposed facility follows a previously secured $6.5 million loan from the African Banking Corporation of Zimbabwe Limited. Together, these funds are expected to complete the requirements for Step 3 of the company's development milestones. Namib Minerals CFO Sphe Mchunu stated that the facility would complete the funding package for the resource-definition and bankability programme, subject to a definitive feasibility study and final documentation.

The agreement also positions Ecobank and Ecobank Group as potential lead arrangers and underwriters for the construction phase of a larger-scale development at the mine. Mchunu noted that the current focus remains on delivering the programme to establish the basis for a disciplined construction decision.