Kazera Global PLC (AIM:KZG) on Monday announced that a $750,000 partnership payment has strengthened its funding position, with the company no longer expecting to draw further funds from its existing loan facility.
The payment is the first commercial milestone under Kazera’s mining cooperation and production-sharing agreement with South Africa AT Investments for the development of Whale Head Minerals’ heavy mineral sands assets.
Combined with $500,000 recently received under the Hebei Settlement Agreement, the latest payment takes Kazera’s recent cash receipts to $1.25 million.
Under the partnership, SAI will fund all capital expenditure, operating costs, infrastructure, equipment and working capital for the covered mining operations. Whale Head Minerals retains a 20% entitlement to production and ownership of its mining rights and permits.
The parties will now prepare a comprehensive Mine Plan covering production and heavy mineral concentrate grade targets.
In London, Kazera shares climbed 10.7%, changing hands at 1.61p.
