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Overview

Shandong Gold International Mining provides a $35 million USD loan to Focus Minerals Limited to fund its Coolgardie Gold Project operations

Commitments (Constant USD, 2023)$35,000,000
Commitment Year•2023Country of Activity•AustraliaDirect Recipient Country of Incorporation•AustraliaSector•Industry, Mining, ConstructionFlow Type•Loan

Status

Project lifecycle

Implementation

Pipeline: PledgePipeline: CommitmentImplementationCompletion

Timeline

Key dates

Commitment date
Jan 19, 2023
Start (actual)
Apr 3, 2023
Last repayment (originally scheduled)
Apr 3, 2026

Stakeholders

Organizations involved in projects and activities supported by financial and in-kind transfers from Chinese government and state-owned entities

Ultimate beneficial owners

At least 25% host country ownershipAt least 25% Chinese ownership

Funding agencies

State-owned companies

  • Shandong Gold International Mining Co., Ltd.

Receiving agencies

State-owned companies

  • Focus Minerals Limited

Loan description

Shandong Gold International Mining provides a $35 million USD loan to Focus Minerals Limited to fund its Coolgardie Gold Project operations

Interest rate (t₀)•7.79682%Interest type•Variable Interest RateMaturity•3 years

Narrative

Full Description

Project narrative

On January 19, 2023, Chinese state-owned gold mining company Shandong Gold International Mining Co., Ltd. entered into a $35 million USD ($51.28 million AUD) loan facility agreement with Focus Minerals Limited — an Australia-incorporated gold producer with operations based in Coolgardie in Western Australia listed on the Australian Securities Exchange whose largest shareholder is Shandong Gold International Mining (62.84%) — to fund its Coolgardie Gold Project operations. This loan carried a maturity period of three years from draw down with the principal payable at the end of the term, an interest rate based on a 3-month forward-looking term rate based on the Secured Overnight financing related plus a margin of 3% per annum payable quarterly in arrears. The loan was first drawn down on April 3, 2023 (and thus the final maturity date would be April 2026). The proceeds were to be used by the borrower to fund its Coolgardie Gold Project operations (i.e. for working capital purposes).