AJQ - Myall Creek, page-2

More endorsement for one of our kids.

I am really starting to like what I see @AJQ. TA wise looks strong. If we can clear 11 cts watch out.




$6.8 million Environmental Bonding Funding Facility obtained
from Tribeca Global Natural Resources Fund
The Directors of Armour Energy Ltd (ASX: AJQ) are pleased to provide this update on the Company’s financing activities.
Tribeca Facility
The Company and an Armour subsidiary, Armour Energy (Surat Basin) Pty Ltd (Armour Surat) have entered into a credit facility agreement (Tribeca Facility Agreement) with Tribeca Investment Partners Pty Ltd, Equity Trustees Limited (in its capacity as the trustee of the Tribeca Global Natural Resources Credit Fund) and Tribeca Global Natural Resources Credit Master Fund (Tribeca) for the provision by Tribeca of an environmental bonding finance facility to Armour Surat (the Tribeca Facility).
Pursuant to the terms of the Tribeca Facility, Tribeca will lend up to A$6,800,000 on a second ranking secured basis to Armour Surat.
The Company’s ability to draw down funds under the Tribeca Facility is subject to a number of conditions precedent which are customary for a facility of this nature which should be satisfied in the coming week.
The Tribeca Facility will provide the Company with a source of further working capital to facilitate its continued development of its Kincora Gas Project.
The Tribeca Facility has a 9% per annum coupon rate payable by the Company quarterly in arrears on amounts drawn and in addition, the Company has agreed to grant to Tribeca 41,000,000 unlisted options to subscribe for ordinary shares (Options) with an exercise price of A$0.166. The Options will expire on the third anniversary of the first drawdown date under the Tribeca Facility.
The Options will be granted on the earlier of the drawdown date under the Tribeca Facility or 10 business days after the date of the Tribeca Facility Agreement.