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Sibanye-Stillwater, the multinational precious metal mining group led by South African mining mogul Neal Froneman, has announced plans to provide emergency funding of up to A$30 million ($20.1 million) to Australian zinc and tailings mining company New Century Resources, which the Neal Froneman-led group is looking to acquire.
The move follows Sibanye-Stillwater’s recent success in increasing its dollar-denominated revolving credit facility from $600 million to $1 billion, concluded by a syndicate of ten international banks, which includes an option to increase the facility size to $1.2 billion.
Sibanye-Stillwater will use a fraction of the credit facility to boost New Century Resources’ operation, placing it on a path of growth. This highlights the group’s commitment to expanding its asset portfolio into battery metals mining and processing while increasing its presence in the circular economy by growing and diversifying its recycling and tailings reprocessing operations globally.
“We are delighted with the interest from numerous financial institutions and strong support from the group of banks who are financing the facility. The increase in the size of the facility, especially considering the uncertain macro-environment, from our perspective, is a strong vote of confidence in the group,” said Sibanye-Stillwater CEO Neal Froneman in a statement.
Neal Froneman, who holds a 0.074-percent stake in the company, has played a pivotal role in transforming the mining group into a top producer of platinum, palladium, and gold.
The South African businessman is now leading the charge in building and diversifying Sibanye-Stillwater’s asset portfolio into battery metals mining and processing while increasing its presence in the circular economy by growing and diversifying its recycling and tailings reprocessing operations globally.
Sibanye-Stillwater’s larger credit facility enhances its liquidity and flexibility, accommodates the growth that has taken place in the group, and supports its delivery of value to all stakeholders. The company has also secured working capital and trading facilities for the Sibanye Stillwater Sandouville Refinery, a subsidiary of Sibanye Battery Metals.
