Image: Engineering News
Tin mining company, AfriTin Mining, has entered a $6.1 million, five-year loan agreement with Standard Bank Namibia to fund the expansion of its Uis tin mine processing plant.
AfriTin stated that the loan will fund the expansion of the company’s Phase 1 pilot processing plant, expected to increase the mine’s tin concentrate production by 67% from 720 tons to 1,200 tons per year. Expansion and commissioning of the processing plant is expected for the second quarter of 2022.
“This marks the start of a long-term banking partnership to continue the development of the Uis tin mine and provides a financing partner not only for the Phase 1 processing plant, but the longer-term Phase 2 development plans,” stated Anthony Viljoen, CEO of AfriTin, who added, “This term sheet is a strong endorsement for the company and its expansion of tin production and our focus to bring the significant lithium and tantalum revenue streams into production.”
The financing agreement follows a $15.25 million equity raise recently undertaken by the company, as well as the stated intention for Standard Bank Namibia to take over AfriTin’s short-term financing agreements, amounting $2.6 million, with Nedbank Namibia.
Viljoen noted that, “This financing agreement, together with the GBP 13 million ($15.25 million) recent equity raise, should provide the company with a strong balance sheet to increase tin production and unlock the wider lithium and tantalum new technology metal – related opportunities.”
AfriTin has also discussed with Standard Bank Namibia, the provision of a $288,000 guarantee to Namibia Power Corporation to serve as a deposit for the supply of energy to the mine.
“We are pleased to enter this agreement with AfriTin for the expansion of the Uis Tin Mine. Uis was historically the world’s largest open pit tin mine, and it is very exciting to see a new mine being developed for the benefit of Namibia and all stakeholders,” stated Standard Bank Namibia Head of Investment Banking, Marco Triebner, who added, “We are pleased to partner with AfriTin who, like Standard Bank, are invested in the long-term success of Namibia and its mining industry.”
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