Resource Capital Funds advises that it recently reached an agreement, subject to shareholder approval, with Firestone Diamonds PLC (“Firestone”) to provide a standby debt facility and restructured mezzanine facility for the construction of its Liqhobong Mine Development Project in Lesotho, Africa. This investment follows a significant equity investment by Resource Capital Fund VI L.P. in Firestone during 2014. Resource Capital Funds Managing Partner, James McClements, said that the standby debt facility would provide the company with a buffer, if needed, in developing its project.
“It has been a tough time recently for the mining sector with falling commodity prices and weak public markets impacting cash flows of operating companies, and the capacity of emerging companies to progress development of projects. At RCF we take a long term view of the market irrespective of price fluctuations so are pleased to support Firestone in the development of its Liqhobong Mine Development Project.”
Click here to read the full announcement from Firestone Diamonds PLC.