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Banks to bolster facility for gold producer
Allens has advised two big banks and BNP Paribas on a syndicated facility agreement to provide working capital and bank guarantee facilities to Western Australia-based gold producer Ramelius Resources Ltd.
Emma Musgrave
Source: allens.com.au/people/c/nicholas-creed/
Firm: Allens (Commonwealth Bank of Australia, National Australia Bank Limited, BNP Paribas).
Value: $35 million.
Area: Finance.
Key players: The Allens legal team included banking and finance partner Nicholas Creed, senior associate John Tanner, associate Elize Conway and lawyer Andrew Huxtable.
Allens project partner Jodi Reinmuth also advised the parties.
Deal significance: Under this SFA, CBA, NAB and BNP will provide facilities totalling $35 million, as well as an extensive hedge portfolio.
“The facility will provide Ramelius with access to working capital and support for any corporate or asset acquisition it might conduct in the future. There is also scope to increase funding, subject to the approval of the syndicate members,” a statement from Allens confirmed.
“In addition to its current gold-producing operations, Ramelius has exploration projects ongoing in Western Australia and Nevada, US.”
Mr Creed said the firm was delighted to have advised the banks on this “landmark facility” for Western Australia gold producer, Ramelius.
“Having access to up to $35 million will support the company’s growth aspiration and the exploration projects that are currently underway,” Mr Creed said.
“More than a year in the making, Allens and the banks structured the deal in a new, innovative way, to incorporate a substantial hedging book.
“It’s one of the first to deal with complicated intercreditor issues that arise when an existing financier has large exposure to gold hedging and the incoming syndicate members do not.”
Emma Musgrave
Emma Musgrave (née Ryan) is the managing editor, professional services at Momentum Media.
Emma has worked for Momentum Media since 2015, including five years spent as the editor of the company's legal brand - Lawyers Weekly. Throughout her time at Momentum, she has been responsible for breaking some of the biggest stories in corporate Australia. In addition, she has produced exclusive multimedia and event content related to the company's respective brands and audiences.
Prior to joining Momentum Media, Emma worked in breakfast radio, delivering news to the Central West region of NSW, before taking on a radio journalist role at Southern Cross Austereo, based in Townsville, North Queensland.
She holds a Bachelor of Communications (Journalism) degree from Charles Sturt University.
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