VANCOUVER - Anooraq Resources Corp. (TSXV:ARQ) and Anglo American Platinum Ltd. have signed a deal to restructure, refinance and recapitalize Anooraq and the Bokoni Platinum group of companies.
The companies said Thursday that they have agreed to a new plan that includes a US$325-investment at the Bokoni platinum mine that will accelerate production growth at the operation.
Under the deal, Anooraq will sell its interest in the Boikgantsho project and the eastern section of the Ga-Phasha project in South Africa to Amplats for US$213 million.
Anooraq is utilizing the proceeds of the mineral asset sale and an interest standstill agreement to reduce its debt owing to Amplats by 66 per cent to about $125 million from $375 million and consolidate it under a single loan.
Amplats will also give Anooraq up to an additional $163 million under the consolidated debt facility to fund its share of growth at the Bokoni Platinum Mine operations through to 2020.
Anooraq will continue to hold a 51 per cent stake in the enlarged Bokoni Platinum Mine with Amplats retaining the remaining interest.
Anglo American Platinum is a 79 per cent held subsidiary of Anglo American plc.
Anooraq Resources holds assets located on the Bushveld Igneous Complex of South Africa.
