Theta Gold Mines (ASX:TGM) entered a non-binding funding agreement with Nebari Partners for a proposed senior secured loan facility of US$80 million to support the development of its TGME Gold Mine Project in South Africa’s Eastern Transvaal Goldfields.
The facility, structured in two tranches, will provide US$45 million at closing, with an additional US$35 million available at the company’s discretion after three months, subject to operational milestones and conditions precedent.
The loan carries a 3-month SOFR-based interest rate with a 3.75% floor plus 10% per annum, a 12-month interest capitalisation, and an 18-month principal repayment moratorium.
The facility term is five years from the first tranche funding.
The agreement includes first-ranking security over substantially all Theta Gold and subsidiary assets, guarantees from all subsidiaries, and warrants for ordinary shares representing 27% of the funded amount, exercisable at a 40% premium to the 20-day VWAP and expiring 48 months post-tranche funding.