logo-loader
viewWolf Minerals Limited

Wolf makes significant progress on debt talks

Wolf Minerals looks set to come to an accomodation with lenders, after a debt covenant was breached last month

Wolf---Drakelands.jpg
Drakelands went into production last year

Ongoing discussions between Wolf Minerals Ltd (LON:WLFE, ASX:WLF) and its lenders and major backer Resource Capital Funds “have continued to be positive” according to commentary released to market by Wolf this morning.

Wolf undertook one of the UK’s largest mine builds in many years when it put the Drakelands tungsten mine in Devon into production last year.

However, since that time the tungsten price has continued to be weak, and Drakelands has struggled to deliver clear margin.

Accordingly, on 30 September Wolf’s shares were suspended from trading on the Australian Stock Exchange as a debt covenant relating to a forward cash flow forecast had been breached.

Now though, Wolf says progress has been made. Discussions, it says, “have advanced to a point where the company has every expectation that completion of final binding agreements will now occur on or before 21 October 2016.”

The plan is to complete and then release details of these agreements, put out the annual report, and then lift the suspension on the ASX.

 

Quick facts: Wolf Minerals Limited

Price: 0.035 AUD

ASX:WLF
Market: ASX
Market Cap: $38.18 m
Follow

Add related topics to MyProactive

Create your account: sign up and get ahead on news and events

NO INVESTMENT ADVICE

The Company is a publisher. You understand and agree that no content published on the Site constitutes a recommendation that any particular security, portfolio of securities, transaction, or investment strategy is...

In exchange for publishing services rendered by the Company on behalf of Wolf Minerals Limited named herein, including the promotion by the Company of Wolf Minerals Limited in any Content on the Site, the Company...

FOR OUR FULL DISCLAIMER CLICK HERE

Watch

Demise of Wolf Minerals Ltd 'a blow for UK mining' - Alastair Ford

Mining Capital's Alastair Ford discusses the collapse this week of Wolf Minerals Limited (LON:WLFE) (ASX:WLF). Ford says what really did it for Wolf was simply that the economics of production at Hemerdon never really stacked up. He adds that its major investor RCF will now be staring...

on 12/10/18

2 min read