Australian Pilbara Minerals has completed the transaction documentation for a new A$1bn ($699m) revolving credit facility (RCF) with a consortium of domestic and international banks.
The RCF increases the Company’s financial flexibility, with competitive pricing and an enhanced covenant framework and terms. The RCF can be utilised for refinancing and for general corporate and working capital purposes subject to drawdown conditions.
To facilitate financial close of the RCF, Pilbara Minerals will repay all outstanding amounts under its existing 10-year A$250M debt facility with Export Finance Australia and the Northern Australia Infrastructure Facility and its 5-year US$113M syndicated debt facility.
Pilbara Minerals’ Chief Financial Officer, Luke Bortoli, said:
“The establishment of the A$1 billion RCF is an important step in the maturity of Pilbara Minerals’ capital structure. The new corporate facility replaces Pilbara Minerals’ existing loan facilities, offers significant flexibility for future funding and bolsters the Company’s already strong liquidity position. The establishment of the RCF shows the strength of Pilbara Minerals’ balance sheet, notwithstanding the current market environment.
We are extremely pleased at the very strong appetite from both existing and new lenders to participate in this facility which has strengthened our institutional banking relationships as we continue to play a leading role in the global lithium value chain.
Export Finance Australia and the Northern Australia Infrastructure Facility have played pivotal roles in the development of Australia’s critical minerals sector, including providing funding to Pilbara Minerals. We thank them both for their support”.