Deutsche Bank has signed a US$40mn pre-export financing facility with Philippine mineral processing company, Platinum Group Metals Corporation (PGMC). The funds will be supporting the acquisition, rehabilitation and development works on the company's two ferronickel smelter pants.
The deal also includes a US$5mn working capital tranche to provide continuing support to PGMC's existing mining operations and developing smelter operations.
PGMC’s smelter plants are considered investment priority projects for the Philippine government. These plants process a significant proportion of the Philippines "raw mineral output before it is exported.
"This financing facility allows PGMC to continue and sustain its momentum towards the full phase development of our ferronickel smelter projects, which is consistent with the major push by the Philippine government in developing the mining and mineral processing industries of the country,” comments Ramon Atayde, PGMC chairman.
It is hoped that through increasing foreign investment in the mining sector will ultimately mean the industry can raise capital for project and operating capital without having to secure state guarantees.
Last Updated January 18, 2008
Reader Comments