Exchanges: ASX/TSX : TGS
Issued Shares: 406M
PERTH, Western Australia, May 7 /CNW/ - Tiger Resources Ltd (ASX/TSX - TGS) ("Tiger" or the "Company") is pleased to announce that shareholder and final regulatory approvals have now been received in respect of the combined equity and debt financing package arrangement with Trafigura Beheer B.V. ("Trafigura").
The financing package includes the provision of two debt facilities by Trafigura: a US$12 million Loan Note Facility and a US$15 million Subordinated Loan Facility. Together with the funds from the proposed Nedbank/ECIC debt facility, the funds from the Trafigura debt facilities will be used to complete Tiger's payment obligations to acquire a 60% interest in the Kipoi Project (US$12 million) and to meet the funding requirements for the Stage 1 development at Kipoi (US$30 million).
In conjunction with the financing package, Tiger is pleased to announce the appointment of Mr Jesus Fernandez and Mr Deon Garbers, both representatives of Trafigura, to the Tiger Board as Non-executive Directors. Tiger believes the experience and expertise of Mr Fernandez and Mr Garbers will further assist the Company in achieving the goal of bringing the Kipoi Project into production by the end of 2010.
In accordance with the arrangements approved by shareholders, the Company has also issued the following unlisted options to Trafigura:
- 61,112,398 options exercisable at A$0.215 each during the first
twelve months, and exercisable at A$0.23 each thereafter with a three
- 34,216,577 options exercisable at A$0.24 each during the first twelve
months, and exercisable at A$0.25 each thereafter with a three year
Full details of the terms and conditions of the options were set out in the notice for the general meeting of shareholders held on 21 April 2010.
In compliance with the requirements of the ASX, an Appendix 3B in respect of the 95.3 million options referred to in this announcement is being lodged with the ASX concurrently with this announcement.
Company website: www.tigerresources.com.au
Caution Regarding Forward Looking Statements: The forward-looking statements made in this report are based on assumptions and judgments of management regarding future events and results. Such forward-looking statements, including but not limited to those with respect to the development of a Stage 1 mining operation at the Kipoi Project, and obtaining a project debt facility with Nedbank Limited, involve known and unknown risks, uncertainties, and other factors which may cause the actual results, performance or achievements of the Company to be materially different from any anticipated future results, performance or achievements expressed or implied by such forward-looking statements. Such factors include, among others, the actual market prices of copper, cobalt and silver, the actual results of current exploration, the actual results of future mining, processing and development activities, changes in project parameters as plans continue to be evaluated, as well as those factors disclosed in the Company's filed documents. There can be no assurance that the Kipoi Project will be successfully developed, that an agreement will be reached with Nedbank Limited for a project debt facility, that any mineralisation previously disclosed in respect of the Kipoi Project will be proven to be economic, that anticipated metallurgical recoveries will be achieved, that future evaluation work will confirm the viability of deposits identified within the project or that future required regulatory approvals will be obtained.
SOURCE Tiger Resources Limited
For further information: For further information: in respect of the Company's activities, please contact: David Young, Joint Managing Director, Tel: +61 (0)8 9240 1933, Email: email@example.com; Brad Marwood, Joint Managing Director, Tel: +61 (0)8 9240 1933, Email: firstname.lastname@example.org; Reg Gillard, Chairman, Tel: +61 (0)8 9240 1933, Email: email@example.com