The Facility is comprised of USD165 million (the PF Tranche) to be used towards funding the development of a second mine for the Wahgnion Gold Project in Burkina Faso and to repay all of the Company’s current outstanding bank debt totalling USD15 million drawn on its revolving credit facility with Société Générale. The Facility also includes a further USD25 million to be used toward future advancement of a feasibility study for the exploration stage of another gold project located in Burkina Faso.
Appleby advised on the Mauritius law aspects of the transaction, led by Managing Partner, Malcolm Moller and Senior Associate, Muhammad Aadil Koomar. The Mauritius entities involved were Loumana Holdings Limited, Sabodala Gold (Mauritius) Limited and SGML (Capital) Limited.
The first drawdown under the PF Tranche was USD70 million, USD15 million of which was used to close out its revolving credit facility with Société Générale.
Teranga is a multi-jurisdictional West African gold company focused on the production and development as well as the exploration of more than 6,400 km² land located on prospective gold belts. Since its initial public offering in 2010, Teranga has produced more than 1.4 million ounces of gold from its operations in Senegal, which as of June 30, 2017 had a reserve base of 2.7 million ounces of gold. Focused on diversification and growth, Teranga is advancing its Wahgnion Gold Project, with a recently released positive feasibility study, and conducting extensive exploration programs in three countries: Burkina Faso, Senegal and Côte d’Ivoire. Teranga has nearly 4.0 million ounces of gold reserves from its combined Sabodala Gold operations and Wahgnion Gold Project.