mol close to securing us$500m debt financing..

22/03/2010 8:04AM

MELBOURNE (Dow Jones)--Moly Mines Ltd. (MOL.AU) is on the verge of securing US$500 million in debt financing for its Spinifex Ridge project, with representatives from one of China's biggest banks on-site this week to conduct due diligence, the Australian Financial Review reported Monday.

Without citing sources, the newspaper said representatives from either China Development Bank or the Export Import Bank of China will conduct the due diligence. The move comes after Moly Mines bought in Sichuan Hanlong Group as a strategic partner last year, the report said.

Hanlong will invest US$200 million in two tranches to take a 55% stake in the company, plus arrange the debt financing.

Newspaper Web site: http://www.afr.com

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