In an update to progress that accompanied the firm’s interim results, Berkeley said it “is considering a range of financing options whilst remaining focused on its aim of minimising dilution in order to protect the equity value of its shareholders”.
“The company continues to progress discussions with various potential strategic partners and financiers interested in taking a minority stake in the Salamanca mine, all of whom are currently undertaking detailed legal, financial and technical due diligence,” investors were told.
Having banked US$30mln from London institutions in an over-subscribed fundraise, the company is looking to secure the remainder of the US$96mln investment required to complete Salamanca.
The interims charted six months of significant progress for the business, a period in which it began work on the mine and ordered vital equipment, including the crusher circuit.
It also secured an offtake agreement for its product for double the volume it initially sought, while a report stated Salamanca will be one of the lowest cost uranium producers in the world when it begins production.
Not unusually for a mine developer at the pre-production stage, Berkeley was loss-making – to the tune of US$6.5mln in the six months ended December 31.
However it was in a financially very robust position sitting on around US$43mln at the period-end.