Richland Resources Ltd (LON:RLD) has extended the maturity date for its convertible loan facility as the gemstones developer continued discussions over the Capricorn sapphire mine in Queensland.
The AIM-listed firm said it had signed a second addendum to its pre-existing loan facility to extend its maturity date from 31 December 2018 to 28 February 2019, for no additional consideration.
READ: Richland Resources losses narrow in half year as it pushes toward production restart at Capricorn Sapphire project
The first addendum, announced on 28 September, had increased the amount in the facility to £400,000 from £300,000.
Regarding the Capricorn project, Richland said it was continuing discussions with one party relating to the potential sale of the site, adding that it was also pursuing its strategy of securing investment to potentially restart production at the project.
In its interim results in September, Richland’s chief executive Anthony Brooke said that the group had spent the period preparing the ground at Capricorn pending sufficient funding being secured to recommence mining operations, whilst at the same time undertaking test drilling and general maintenance to facilitate a more focused open pit operation and ultimately higher yield production once mining recommences.