Nickel Mines said on Monday that it has now completed a first phase payment of $180m for a 30 per cent stake in Angel Nickel after receiving shareholder approval to acquire a 70 per cent stake in the company on January 19.
Nickel Mines has reached an agreement with its partner, Shanghai Dingxin Investment, to increase its stake in Angel Nickel from 70 per cent to 80 per cent, and from $280m to $350m in a second phase.
The second phase of payments is due by the end of December at the latest, but if Nickel Mines chooses to pay by the end of June this year, the required payment will be reduced to $344 million.
If required, the Company will seek shareholder approval to acquire an additional 10% interest in Angel Nickel at its annual general meeting in May.
In addition to making an initial payment of $180m, Nickel Mines has also repaid the remaining $22.5m owed from the Ranger debt facility to DingHsin, which is now debt-free.
"We have seen such strong shareholder support for the Angel Nickel transaction through the company's recent capital raising and subsequent extraordinary general meeting of shareholders, and we are pleased to be able to complete the first phase of the acquisition of Angel Nickel prior to the March 31 deadline," said Justin Werner, managing director of Nickel Mines.
"With the completion of 30% of Angel Nickel's initial acquisition and full repayment of the Ranger debt financing, the company is in a very strong position to initiate various debt financing options to complete the second acquisition."
The four rotary kiln electric furnace production lines that comprise the ANGEL project will have an annual rated capacity of 36,000 tons of nickel metal and will include a 380 MW coal-fired power plant.
PUDA Nickel concentrate bagging machine
Main characters of nickel
Ø state: powder
Ø bulk density: 1.6-2.0 t/m³
Ø color: black, grey
Ø particle size: 200-250 mesh
Ø water content: ≤15%
Ø flow ability: bad
Ø ductility :good
Ø chemical stability: good
Ø suitable machine type: big bulk bag belt bagging machine
