RNS Number : 9600N
Target Resources Plc
26 February 2009
Stock Exchange Announcement
Date: 26 February 2009
On behalf of: Target Resources plc
Target Resources plc ('Target' or the 'Company')
Tiffany Group makes further commitment to Target
Target Resources plc (AIM:TGT), the alluvial diamond and gold mining company operating in Sierra Leone, is pleased to announce that Tiffany & Co (NYSE: TIF), has today agreed to advance the Company a further $1 million loan facility (the 'Facility'), bringing the total outstanding amount of debt provided by Tiffany & Co and its subsidiaries to $9.0 million following drawdown of the Facility.
The Facility will be used for ongoing working capital purposes, and in particular for commencing trial mining on the Company's alluvial gold license in Yele, which the Company announced it had acquired on 14 January 2008.
The Facility, which will be drawn down by the Company shortly, carries an interest rate of 10%, and provides for quarterly interest only repayments, with the principal amount of the loan repayable after three years.
Tiffany has also been granted an option over 3,000,000 shares in the Company at an exercise price of 10p per share, exercisable over a three year period.
The Board will issue an operational update shortly, including progress in regard to its Yele gold license.
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Enquiries:
Target Resources plc 020 7258 2300
Yair Ziv, Finance Director www.target-resources.co.uk
Nominated Adviser and Broker
Arbuthnot Securities 020 7012 2000
John Prior
Ed Burbidge
This information is provided by RNS
The company news service from the London Stock Exchange
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