Coronavirus: Lucapa Defers $13m of Loan Repayments
August 16, 20
(IDEX Online) - Australian miner Lucapa has restructured $13m of loan repayments after the pandemic saw rough sales plunge by 80 per cent.
It said major financiers and shareholders, Equigold, New Azilian, and the Industrial Development Corporation of South Africa had deferred loan repayments from 2020 to 2022 and beyond.
Managing director Stephen Wetherall said the amendments reflected an understanding of the pandemic's impact.
"The refinancing arrangements will give Lucapa and Mothae more flexibility to navigate the pandemic affected diamond and investor markets and the support to continue driving the company's strategy on its niche high-end operations and exciting exploration projects," he said.
Meanwhile Lucapa Diamond Company reports "very encouraging kimberlite exploration results" after it resumed drilling at five prospective pipes and two other priority alluvial targets at Lulo, in Angola. Its other mine, Mothae, in Lesotho, has been on care and maintenance since March.
Lucapa's rough sales at Lulo fell by 80 per cent during Q2 at Lucapa's Lulo Mine, in Angola, and the price per carat was down by 67 per cent, according to its quarterly report.
Pic shows Bulk sampling sites at Lulo kimberlites