Quick Facts
FONT-SIZE Plus   Neg
Share SHARE
mail  E-MAIL

Diamondcorp Finalizes Tiffany Loan And Diamond Offtake Agreement

1/7/2013 3:35 AM ET

Diamondcorp PLC (DCP.L), Monday said it has finalized with Laurelton Diamonds, a wholly-owned subsidiary of Tiffany & Co. (TIF) the term loan of $6 million in exchange for an Offtake Agreement for diamond production from the Lace mine in the Free State province of South Africa. The terms of the agreement remain unaltered from those previously announced, added Diamondcorp.

The development paves way for the proceeds of the convertible bond issue to be released from escrow and completes the funding required for the 47 level block cave development at Lace.

The loan is expected to come at an interest rate of 9 percent annually and must be repaid in full by the 8th anniversary of the Second Funding Date, April 10 of this year.

The Offtake Agreement is expected to give Laurelton Diamonds the right to purchase production which meets the required quality and color standards from the Lace Mine, and is said to take effect from the first funding date, January 10 this year, until the end of the life of the mine, subject to conditions.

Click here to receive FREE breaking news email alerts for Diamondcorp Plc and others in your portfolio

by RTT Staff Writer

For comments and feedback: editorial@rttnews.com

Business News

Quick Facts

Editors Pick
While selling pressure has remained subdued, stocks continue to see modest weakness in mid-day trading on Wednesday. The losses on the day are partly offsetting the gains posted over the course of the two previous sessions. The major averages have moved to the downside in recent trading, with the Nasdaq hitting a new low for the session. Providing a potential boost to comprehensive immigration reform, the non-partisan Congressional Budget Office has estimated that the immigration bill currently being debated in the Senate would result in a notable reduction to the federal budget deficit. Along a dirt track on an unexpectedly cool and windy night on Jordan's border with Syria, as shadows lengthened across the barren hills, UNHCR Special Envoy Angelina Jolie listened to the stories of men, women and children who had fled Syria just hours before. She heard stories of bombs and pain and loss from people fleeing Homs, Dara'a and Qusair, three of the communities devastated by the Sy
FREE Newsletters, Analysis & Alerts

 

Stay informed with our FREE daily Newsletters and real-time breaking News Alerts. Sign up to receive the latest information on business news, health, technology, biotech, market analysis, currency trading and more.