Andrada Mining, a critical raw materials producer based in Namibia, has secured funding from Bank Windhoek (BWL) through its subsidiary Uis Tin Mining Company (UTMC). The funding agreements amount to N$175m ($9.54m) and will replace UTMC’s existing banking facilities.
The main component of the funding includes a N$100m term loan with a six-year duration, designated as senior secured debt. This loan will help retire existing debt, support growth initiatives, and meet working capital needs. Additionally, BWL will refinance Andrada’s working capital facilities totaling N$50m.
To support cash flow for upcoming VAT payments, BWL will provide short-term loan facilities of N$15m for a period of 12 months. This loan will be subject to the Prime Rate and will be repaid once refunds are received from the Namibia Revenue Agency.
Furthermore, BWL has agreed to provide a N$10m guarantee to AfriTin Mining (Namibia) for the Namibia Power Corporation. This guarantee secures a deposit for the right to receive electrical power and will incur a minor fee payable every six months.
Andrada Mining CEO Anthony Viljoen expressed pride in finalizing this significant funding agreement with Bank Windhoek, highlighting their commitment to Namibia’s mining industry. The funds will be crucial in accelerating exploration efforts, enhancing production capabilities, and creating job opportunities for the local population.
By securing this funding, Andrada Mining aims to not only benefit UTMC but also contribute to the overall economic development of Namibia. The successful completion of the funding agreement signifies a positive step forward for the company’s operations in the region.