Strandline’s Coburn seeks bondholder approval to amend NAIF facility

By Marisa Wong

Los Angles, July 5 – Strandline Resources Ltd. subsidiary Coburn Resources Pty. Ltd. is asking holders of its $60 million 12% senior secured bonds due 2026 (ISIN: NO0010955859) to agree to proposed amendments to its NAIF facility by written resolution, according to a notice.

The issuer said it has entered into negotiations with NAIF regarding some amendments to the NAIF facility to facilitate and to finance the design and construction of an airstrip and associated infrastructure.

The proposed amendments include, among other things,

• Subdividing the existing facility C commitment under the NAIF facility into two sub-facilities – facility C1 and facility C2. Facility C1 will be the sub-facility for the airstrip project and will have a commitment of A$5 million, and facility C2 will be the sub-facility for the existing Denham Road project and will have a commitment of A$15 million;

• Increasing the interest rate for loans to be drawn under facility C1. The interest rate for loans to be drawn under facility C2 will remain unchanged;

• Amending the amortization schedule and the first repayment date;

• Amending the mandatory prepayment provisions;

• Amending some financial covenant definitions; and

• Amending the purpose of the facility C to allow facility C1 to be used for the airstrip project.

Bondholders representing at least a two-thirds majority of the total number of voting bonds must vote in favor of the proposal in order for it to pass. Alternatively, if there is a quorum representing at least 50% of the total number of voting bonds, the proposal will pass with a two-thirds majority of those voting bonds.

The voting period will expire on July 19.

Nordic Trustee AS (+47 22 87 94 10, +47 22 87 94 00, mail@nordictrustee.no) is the trustee.

Strandline is a critical minerals mining company based in Perth, Australia, with interests in Australia and Tanzania.

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