ASX-listed Walkabout Resources has reached an agreement with earthmoving and civils contractor TNR that will allow for the completion of the earthworks and civils portion of the Lindi Jumbo graphite mine, in Tanzania.
TNR has agreed to defer $1.4-million in payments for work to be completed at the site, enabling the acceleration of the civil and concrete works for the installation of the machinery and the equipment currently being prepared for despatch from China.
It will also allow for the advancement of the tailings storage facility before the start of commissioning of the processing plant.
“TNR has been incredibly supportive of the project since being contracted in 2021. This commitment is clear to see in their provision of deferred payments while we continue to complete the processes of final project construction funding. This will enable works to continue at site without interruption and at an increased rate in preparation for the arrival of the remainder of the processing plant equipment,” said Walkabout CEO Andrew Cunningham.
Lindi Jumbo would be required to pay TNR at least $250 000 in cash or the actual amount of each invoice, with the balance of the invoiced amount forming part of the TNR deferred consideration. Walkabout said that the funding first few months’ obligation would be funded by a director bridging loan.
The deal with TNR comes just a day after Walkabout announced that it had secured a $10-million funding commitment from institutional investor Battery Metals Capital to finalise construction of the Lindi Jumbo project, and to fund general working capital, if required.
The commitment is for a term of 24 months and constitutes standby funding to be substantially drawn down at Walkabout’s discretion. Battery Metals has committed to invest up to $10-million in the aggregate for subscription shares worth more than $11.6-million, with Walkabout also issuing 6.7-million shares as a commitment fee.
Source: Mining Weekly