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Anglo Asian Mining borrows $15 million loan

12 February 2018 13:54 (UTC +04:00)

Anglo Asian Mining plc ("Anglo Asian" or the "Company"), the AIM listed gold, copper and silver producer focused in Azerbaijan, is pleased to announce that a subsidiary of the Group, Azerbaijan International Mining Company Limited, has entered into a syndicated, two-year term loan facility with Pasha Bank OJSC Azerbaijan ("Pasha Bank") as arranger for up to $15 million at a 7 per cent. fixed interest rate per annum to refinance the majority of its existing loans (the "Facility").

According to the Company, the Facility will immediately improve the Group's financial performance in addition to providing operational flexibility.

‘A total of $13.5 million of the Facility will be utilised to repay existing loans to Amsterdam Trade Bank N. V., Gazprombank (Switzerland) Ltd., Reza Vaziri (Anglo Asian CEO) and Yapi Credit Bank. Following the refinancing, debt principal repayment in 2018 will be reduced to $5.1 million - releasing capital of $8.4 million to support expansion and optimisation initiatives at the Gedabek gold, copper and silver project ("Gedabek").

Interest rate on loans totalling $2.1 million with the International Bank of Azerbaijan (which will not be refinanced) reduced from 12 per cent. to 7 per cent’, the Company said.