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Market: ASX
Sector: General Mining - Copper
EPIC: IRL
Latest Price: A$0.00  (0,00%)
52-week High: A$0.01
52-week Low: A$0.00
Market Cap: A$2.55M
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India Resources
www.indiaresources.com.au

India Resources Limited (ASX: IRL) operates the Surda Copper Mine in India.  IRL has developed a close commercial alliance with Hindustan Copper Limited (HCL, a Government of India enterprise). These alliances with HCL are a first for an overseas group. Hindustan Copper is the sole integrated producer of primary copper in India and is listed on the Mumbai, Delhi, Calcutta and Madras exchanges.

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India Resources finalises $5.5m facility with Chimaera Equity Market Fund

18th Apr 2011, 8:06 am

India Resources (ASX: IRL) has finalised a $5.5 million equity funding facility with the Chimaera Equity Market Neutral Fund.

Under the terms of the facility, Chimaera EMN will subscribe for an initial placement of 15,500,000 fully paid shares at $0.02 to raise $500,000, a 60% premium.

The balance of $190,000 will be subscribed by Chimaera EMN for 12,666,667 million shares at $0.015 per share within 21 days.

The facility is subject to shareholder approval. Any drawdown of the facility above the initial subscription will be at the company's discretion.

The facility was arranged by Empire Equity Limited, a London based private merchant bank. India Resources' secured creditor, Noble Group, has consented to the facility.

The placement and funding facility provide optimum flexibility to India Resources to fund growth.

India Resources is one of few foreign mining services companies to successfully operate projects in India, and currently has some exciting projects in the pipeline.

The company recently announced its intention to participate in several significant  contracting opportunities presented by existing client Hindustan Copper  Limited (HCL).

To support its commitment to these projects the company has entered into an agreement with the large Polish mining services group, Kopex.

This strategic alliance between India Resources and Kopex positions the company perfectly for the expected rapid growth in the mine contracting business in India.

India Resources said Kopex shares a similar view on the outlook for mining services in the country, and therefore the parties have agreed to jointly pursue other opportunities, in addition to those presented by HCL.

Added to this for India Resources are the two new long term coal mine development agreements secured at the level of preferred contractor status, and the upcoming HCL contracts coupled with the established Surda Copper operation, this funding facility will provide the necessary security to underpin the growth of the company’s mining contracting division.

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