Tungsten miner Premier African (LON:PREM) has received a US$200,000 credit facility from a local Zimbabwe bank as it prepares to exploit underground at its RHA project.
The on-demand facility, increasing the group's working cap facilities, will be used to pay for direct operating expenses.
It bears interest at the bank's costs of funds plus a margin of 8.75% and is guaranteed by Premier.
It runs for an initial term until October 31 this year.
Chief executive and chairman George Roach told investors: "It is most encouraging that a local banking institution has a level of confidence in RHA such that they are prepared to extend a facility for normal working capital requirements linked to shipment of concentrates.
"Historically, Premier has met 100% of all expenses incurred by RHA."
Premier is the operator of the mine and holds a 49% interest.
Roach has a 26.6% stake in the company and a US$300,000 loan outstanding.
The firm has been mining from the existing adit level at RHA since November last year and has the first full month ROM tonnage ready to feed.
Premier shares are unchanged at 0.325p.