ZUG, Switzerland, Dec. 13, 2012 /CNW/ - Katanga Mining Limited (TSX: KAT) ("Katanga" or the "Company") today announced the satisfaction of the conditions precedent to draw down from its previously announced US$515.5 million senior secured facility between, among others, a Katanga subsidiary, as borrower, Katanga and other Katanga subsidiaries as guarantors, and the Glencore Group, as lender (the "Facility").
The Facility funds in part the previously announced Updated Phase 4 Expansion of Katanga's copper and cobalt project. The Facility is now fully-drawn, will mature on December 31, 2014 and interest is payable on the drawn amount at a rate of 10% per annum.
Additional information about the Facility was included in Katanga's most recently filed management discussion and analysis for the three and nine months ended September 30, 2012.
About Katanga Mining Limited
Katanga Mining Limited operates a major mine complex in the Democratic Republic of Congo producing refined copper and cobalt. The Company has the potential to become Africa's largest copper producer and the world's largest cobalt producer. Katanga is listed on the Toronto Stock Exchange under the symbol KAT.
This press release contains "forward-looking information" within the meaning of Canadian securities legislation with respect to the Updated Phase 4 Expansion of Katanga's copper cobalt project. Generally, forward-looking information can be identified by the use of forward-looking terminology such as "plans", "expects" or "does not expect", "is expected", "budget", "scheduled estimates", "forecasts", "outlook", "intends", "anticipates", "does not anticipate", or "believes", or variations of such words and phrases or statements that certain actions, events or results "may", "could", "would", "might", "will" or "will be taken", "occur", or "be achieved". Statements containing forward-looking information are based on the opinions and estimates of management as of the date such statements are made, and they are subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of Katanga to be materially different from those expressed or implied by such statements, including but not limited to: risks relating to the refurbishment of existing facilities; unexpected events during construction, start-up, expansion or production; variations in ore grade or tonnes mined; future prices of copper and cobalt; futures prices of oxide concentrate; possible variations in ore reserves, grade or recovery rates; failure of plant, equipment or processes to operate as anticipated; political unrest and insurrection; acts of terrorism; accidents, labor disputes and other risks of the mining industry; delays in the completion of development or construction activities, as well as those factors discussed herein or referred to in the current annual information form of the Company filed with the securities regulatory authorities in Canada and available at www.sedar.com. Although management of Katanga has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking statements, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that statements containing forward- looking information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on statements containing forward-looking information. Katanga does not undertake to update any forward-looking information or statement that is incorporated herein, except in accordance with applicable securities laws.
SOURCE: Katanga Mining Limited
For further information:
CEO Tel: +41 (041) 766 71 10
CFO Tel: +41 (041) 766 71 10