|
RAPAPORT... Lucapa Diamond Company Ltd. secured a $15 million bridge financing facility for the Lulo diamond concession in Angola. The 12-month financing bridge is subject to the satisfactory completion of due diligence, investment approvals, security and customary legal documentation. Lucapa and the loan provider have agreed to enter into an exclusivity period of 40 days to complete those requirements.
Since December, Lucapa has been evaluating a number of debt-financing proposals to fund efficiency and technology improvements for the first phase of alluvial diamond mining at Lulo. Some of these upgrades include modifying the receiving module on Lucapa's diamond treatment plant to create a full wet front end to allow for effective wet gravel reception during the heavy rainfall months and new x-ray transmission technology to increase capacity and optimize the recovery of low-luminescent type IIa diamonds. Lucapa's CEO, Stephen Wetherall, said, "We look forward to commencing the due diligence and to securing the funding for the next exciting and important stage of development at Lulo."
|