Johannesburg, South Africa — MININGREVIEW.COM — 25 November 2009 – Aquarius Platinum Limited “’ the fourth- largest producer of the metal “’ has announced that it intends to sell US$250 million ((R1.9 billion) of convertible bonds due in 2015 to repay debt and fund a processing plant in South Africa.
In a statement released here, the Hamilton, Bermuda-based company said the sale might be increased to US$300 million (R2.25 billion) if the over-allotment option is exercised.
The statement added that the proceeds would be used to redeem R650 million of convertible bonds and to build a chromite recovery plant at the company’s. Everest mine.
Aquarius “’ which operates in South Africa and Zimbabwe “’ lost US$45.7 million (R342.75 million) in the fiscal year ended 30 June 2009, after the slump in platinum prices and a surge in the rand.
Aquarius plans to build a chromite recovery plant at its Everest mine, which is being reopened after the main decline shaft was affected by geotechnical issues. The mine could be back in production by September 2010, after operations were suspended in December 2008. Two new decline shafts are now being sunk to re-establish access, and the total cost of the entire re-establishment project is about R259 million.