Northern Minerals (ASX: NTU) has agreed a new $14 million funding package for the Browns Range Pilot Plant Project with a fund managed by The Lind Partners. The package is being provided as Convertible Securities, with an initial $6 million funded. The term of the agreement is 30 months, which aligns with the Pilot Plant timetable.
- The Lind Partners, through a managed entity, has agreed to provide funding of up to A$14 million for the Browns Range Pilot Plant Project
- Funding will be provided as Convertible Securities, with an initial A$6 million funded
- Term of agreement is for 30 months, which aligns with Pilot Plant timetable
Australian heavy rare earths developer, Northern Minerals Limited (ASX: NTU) (the “Company”) is pleased to announce that it has executed an agreement with an entity managed by The Lind Partners, (the Investor) for a funding agreement of up to A$14 million with an initial amount of A$6 million to be funded immediately after closing.
The funding will be provided as second ranking secured Convertible Securities with a 30 month term. The funding agreement allows for two $6 million tranches and two $1 million tranches based on specific events.
The funding agreement includes provisions for the conversion into Ordinary Shares, repayment in cash or early repayment at the Company’s sole option, as is typical in an agreement of this nature.
The funds will be utilised towards the construction of the Browns Range Pilot Plant Project in northern Western Australia.
George Bauk, Northern Minerals’ MD and CEO said “We are once again pleased to be working with Jeff Easton and the team at Lind. They have been a solid supporter of the Company for many years and offer quality funding solutions to Australian resources projects.”
Jeff Easton, Founder and Managing Director of Lind said “We are proud to be re-investing in Northern Minerals and providing continued support during this exciting stage of development. Lind has the highest confidence in Northern’s management team and their ability to successfully achieve pilot scale production which will be a pivotal milestone. The Browns Range project is on the path to becoming one of a very limited number of producing rare earth projects outside of China and may well become a prominent showcase of Australian partnership, mining expertise and governmental support.”