Welcome!

News Feed Item

Mawson West Secures US$50 Million Prepayment and Offtake Agreement

PERTH, AUSTRALIA -- (Marketwired) -- 04/16/14 --

Highlights:


--  Executed agreement with Trafigura for US$50 million 
--  Full US$50 million prepaid and available immediately 
--  Remaining capital required for the Kapulo project now secured 
--  Prepayment terms provide endorsement of Mawson West's strategy and
    assets 
--  Enables next growth step for Mawson West

Mawson West Limited (TSX:MWE) ("Mawson West" or "the Company") is pleased to announce the Company, through its 90% owned subsidiary Anvil Mining Congo SARL, has signed an offtake agreement with Trafigura Pte Ltd ("Trafigura"), a market leader in the global commodities industry, to sell 100% of the copper concentrate produced at the Dikulushi and Kapulo mines for a period of 48 months from the commencement of commercial production at Kapulo. As part of the offtake arrangements, Trafigura has provided Mawson West with a facility of US$50 million, to be prepaid to the Company immediately.

Key Terms


----------------------------------------------------------------------------
US$50 Million Prepayment                                                    
----------------------------------------------------------------------------
- Available for immediate draw down                                         
- Competitive facility fee                                                  
- Competitive interest margin                                               
- Eight repayment instalments, commencing 31 March 2015                     
- No hedging conditions                                                     
- No equity based payments                                                  
----------------------------------------------------------------------------
Offtake Agreement                                                           
----------------------------------------------------------------------------
- 4 year term to December 2018                                              
- Standard industry payable metal terms                                     
- International benchmark treatment and refining charges                    
- Competitive transport charges with annual reviews                         
- 95% provisional payment, 3 days following delivery to bonded warehouse in 
Nchelenge, Zambia                                                           
----------------------------------------------------------------------------

Mawson West Chief Executive Bruce McFadzean said:

"Completion of the offtake agreement and funding with Trafigura for our production from Dikulushi and Kapulo is a key milestone for Mawson West and provides a strong endorsement of our strategy and assets in the Democratic Republic of Congo. The prepayment of US$50 million means the remaining capital expenditure required for the finalisation of development at the Kapulo project is now secured. With a strong balance sheet, underground production currently ramping up at Dikulushi and final development funding now secured for Kapulo, 2014 is poised to be another exciting year for Mawson West."

Kapulo Overview

With a forecast production rate of approx. 20,000 tonnes of contained copper per annum and a current six year mine life, with potential for further increases after the inclusion of the Safari deposit, Kapulo is the next step in Mawson West's growth strategy.

To date, a total of approx. US$77 million of capital has be spent at Kapulo with the Company having completed all civil works, installation of ROM bin, ROM feeder, crushers, screen deck, ball mills, coarse ore tunnel and the erection of a flotation circuit building. Having secured the required final US$50 million of funding from Trafigura, Mawson West is now in a position to complete the development of Kapulo with commissioning expected to commence in Q4 2014.

Conference Call

Mawson West will host a conference call to discuss today's announcement on April 17, 2014 at 10.00am (North American Eastern Standard Time) (3.00pm London; 10.00pm Perth). Further details of the call are detailed below.

Interested parties may access the conference call by using the following dial-in numbers:


--  Canada 1866 307 0658 
--  United States 1866 307 0659 
--  United Kingdom 0808 238 9067 
--  Australia 1800 153 721 
--  New Zealand 0800 442 709 
--  International Toll 612 8212 8333

Participant PIN Code: 682436#

Dial-in access details for other countries can be obtained from the below web address: http://www.arkadin.com/beamon/ITFS/ANZ_Jan_2013.pdf.

Please connect approximately 10 minutes prior to the beginning of the call.

A recorded playback of the conference call can be accessed from the below web address on Tuesday, April 22, 2014: http://www.mawsonwest.com/irm/content/webcasts.aspx?RID=317.

About Mawson West

Mawson West is a copper and silver-focused resource company listed on the Toronto Stock Exchange

(TSX) and based in Perth, Australia.

The Company's two key projects are the Dikulushi copper-silver mine and the Kapulo copper mine located in the Katanga province in South Eastern Democratic Republic of Congo (DRC). Mawson West also continues to focus on exploring multiple prospective targets located within its significant land holding of approximately 7,300km2 in the DRC's rich copper belt.

Contacts:
Mawson West Limited
Bruce McFadzean
Chief Executive Officer and Managing Director
+61 8 9485 9800
[email protected]

Mawson West Limited
Mark Di Silvio
Chief Financial Officer
+61 8 9485 9800
[email protected]
www.mawsonwest.com

MAGNUS Investor Relations
Kusal Meemeduma
+61 2 8999 1010
[email protected]

Roth Investor Relations Inc.
Michelle Roth
+1 732 792 2200
[email protected]

More Stories By Marketwired .

Copyright © 2009 Marketwired. All rights reserved. All the news releases provided by Marketwired are copyrighted. Any forms of copying other than an individual user's personal reference without express written permission is prohibited. Further distribution of these materials is strictly forbidden, including but not limited to, posting, emailing, faxing, archiving in a public database, redistributing via a computer network or in a printed form.

Latest Stories
In his session at @ThingsExpo, Eric Lachapelle, CEO of the Professional Evaluation and Certification Board (PECB), will provide an overview of various initiatives to certifiy the security of connected devices and future trends in ensuring public trust of IoT. Eric Lachapelle is the Chief Executive Officer of the Professional Evaluation and Certification Board (PECB), an international certification body. His role is to help companies and individuals to achieve professional, accredited and worldw...
DevOps is often described as a combination of technology and culture. Without both, DevOps isn't complete. However, applying the culture to outdated technology is a recipe for disaster; as response times grow and connections between teams are delayed by technology, the culture will die. A Nutanix Enterprise Cloud has many benefits that provide the needed base for a true DevOps paradigm.
My team embarked on building a data lake for our sales and marketing data to better understand customer journeys. This required building a hybrid data pipeline to connect our cloud CRM with the new Hadoop Data Lake. One challenge is that IT was not in a position to provide support until we proved value and marketing did not have the experience, so we embarked on the journey ourselves within the product marketing team for our line of business within Progress. In his session at @BigDataExpo, Sum...
Your homes and cars can be automated and self-serviced. Why can't your storage? From simply asking questions to analyze and troubleshoot your infrastructure, to provisioning storage with snapshots, recovery and replication, your wildest sci-fi dream has come true. In his session at @DevOpsSummit at 20th Cloud Expo, Dan Florea, Director of Product Management at Tintri, will provide a ChatOps demo where you can talk to your storage and manage it from anywhere, through Slack and similar services ...
What sort of WebRTC based applications can we expect to see over the next year and beyond? One way to predict development trends is to see what sorts of applications startups are building. In his session at @ThingsExpo, Arin Sime, founder of WebRTC.ventures, will discuss the current and likely future trends in WebRTC application development based on real requests for custom applications from real customers, as well as other public sources of information,
SYS-CON Events announced today that SoftLayer, an IBM Company, has been named “Gold Sponsor” of SYS-CON's 18th Cloud Expo, which will take place on June 7-9, 2016, at the Javits Center in New York, New York. SoftLayer, an IBM Company, provides cloud infrastructure as a service from a growing number of data centers and network points of presence around the world. SoftLayer’s customers range from Web startups to global enterprises.
SYS-CON Events announced today that Ocean9will exhibit at SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. Ocean9 provides cloud services for Backup, Disaster Recovery (DRaaS) and instant Innovation, and redefines enterprise infrastructure with its cloud native subscription offerings for mission critical SAP workloads.
Have you ever noticed how some IT people seem to lead successful, rewarding, and satisfying lives and careers, while others struggle? IT author and speaker Don Crawley uncovered the five principles that successful IT people use to build satisfying lives and careers and he shares them in this fast-paced, thought-provoking webinar. You'll learn the importance of striking a balance with technical skills and people skills, challenge your pre-existing ideas about IT customer service, and gain new in...
SYS-CON Events announced today that Juniper Networks (NYSE: JNPR), an industry leader in automated, scalable and secure networks, will exhibit at SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. Juniper Networks challenges the status quo with products, solutions and services that transform the economics of networking. The company co-innovates with customers and partners to deliver automated, scalable and secure network...
Interoute has announced the integration of its Global Cloud Infrastructure platform with Rancher Labs’ container management platform, Rancher. This approach enables enterprises to accelerate their digital transformation and infrastructure investments. Matthew Finnie, Interoute CTO commented “Enterprises developing and building apps in the cloud and those on a path to Digital Transformation need Digital ICT Infrastructure that allows them to build, test and deploy faster than ever before. The int...
VeriStor Systems has announced that CRN has named VeriStor to its 2017 Managed Service Provider (MSP) 500 list in the Elite 150 category. This annual list recognizes North American solution providers with cutting-edge approaches to delivering managed services. Their offerings help companies navigate the complex and ever-changing landscape of IT, improve operational efficiencies, and maximize their return on IT investments. In today’s fast-paced business environments, MSPs play an important role...
DevOps is often described as a combination of technology and culture. Without both, DevOps isn't complete. However, applying the culture to outdated technology is a recipe for disaster; as response times grow and connections between teams are delayed by technology, the culture will die. A Nutanix Enterprise Cloud has many benefits that provide the needed base for a true DevOps paradigm. In his Day 3 Keynote at 20th Cloud Expo, Chris Brown, a Solutions Marketing Manager at Nutanix, will explore t...
What if you could build a web application that could support true web-scale traffic without having to ever provision or manage a single server? Sounds magical, and it is! In his session at 20th Cloud Expo, Chris Munns, Senior Developer Advocate for Serverless Applications at Amazon Web Services, will show how to build a serverless website that scales automatically using services like AWS Lambda, Amazon API Gateway, and Amazon S3. We will review several frameworks that can help you build serverle...
SYS-CON Events announced today that Linux Academy, the foremost online Linux and cloud training platform and community, will exhibit at SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. Linux Academy was founded on the belief that providing high-quality, in-depth training should be available at an affordable price. Industry leaders in quality training, provided services, and student certification passes, its goal is to c...
SYS-CON Events announced today that Interoute, owner-operator of one of Europe's largest networks and a global cloud services platform, has been named “Bronze Sponsor” of SYS-CON's 20th Cloud Expo, which will take place on June 6-8, 2017 at the Javits Center in New York, New York. Interoute is the owner-operator of one of Europe's largest networks and a global cloud services platform which encompasses 12 data centers, 14 virtual data centers and 31 colocation centers, with connections to 195 add...