Brazilian fertiliser developer Aguia Resources Limited (ASX: AGR) (“Aguia” or “Company” - https://www.youtube.com/watch?v=pboHnYq8g98) is pleased to announce that it has entered into a Non-Binding Memorandum of Understanding (MOU) with Nebari US (“Nebari”) to provide up to 100% of the financing required for development of Três Estradas via commercially priced debt.
Nebari is based in New York City. The organisation is headed by an experienced team of mining professionals with experience working at organizations such as Glencore/Xstrata, Rio Tinto and Newmont as well as finance professionals with experience from JPMorgan, Perry Capital and McKinley Capital. Nebari primarily focuses on the mining industry and invests in debt, equity, convertibles, offtakes, streams and royalties. The founding team also has experience in marketing physical commodities. Nebari invests with a long-term time horizon and seeks to build constructive relationships with management teams.
Nebari can provide debt financing for up to 100% of the capital required to construct Três Estradas. Definitive agreements would be conditional upon negotiation of final commercial terms, satisfactory due diligence and would require the successful completion of the current Bankable Feasibility Study, obtaining all necessary permits to build the project, and finalisation of appropriate off-take agreements. Nebari plans to work closely with Aguia on the development of Três Estradas, providing flexibility, competitive cost of capital, and optionality for the Company.
Aguia’s Managing Director Justin Reid commented: “Following extensive due diligence, we are very pleased to sign this MOU with such a well-regarded and highly experienced resource sector investment group in Nebari. The professionalism of Nebari’s team and their deep understanding of capital financing and their commodity expertise provides a solid cornerstone partner for our Company as we move towards commercial development.
“Having sufficient funding gives Aguia the confidence that it will be able to execute on its development plans as the Company advances Tres Estradas through to production. It delivers further value for our shareholders and is again excellent validation of the Três Estradas project.”
For further information, please contact:
Justin Reid, Managing Director
T: +1 416-216-5446
Catherine Stretch, Chief Commercial Officer
Released through: Ben Jarvis, Six Degrees Investor Relations: +61 413 150 448
Follow Aguia on Twitter: @ Aguia_Resources
Aguia Resources Limited, (“Aguia”) is an ASX listed company whose primary focus is on the exploration and development of phosphate projects in Brazil. Aguia has an established and highly experienced in-country team based in Belo Horizonte, Brazil with corporate offices in Sydney, Australia. Aguia’s key projects are located in Rio Grande do Sul, a prime farming area which is 100% dependent on phosphate imports. The Rio Grande phosphate deposits exhibit high quality and low cost production characteristics, and are ideally located with proximity to road, rail, and port infrastructure. Aguia’s experienced management team has a proven track record of advancing high quality mining assets to production in Brazil.
The information in this announcement that relates to Exploration Targets, Exploration Results, Mineral Resources or Ore Reserves is based on information compiled by Dr Fernando Tallarico, who is a member of the Association of Professional Geoscientists of Ontario. Dr Tallarico is a full-time employee of the company. Dr Tallarico has sufficient experience that is relevant to the style of mineralisation and type of deposit under consideration and to the activity being undertaken to qualify as a Competent Person as defined in the 2012 Edition of the ‘Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves’. Dr Tallarico consents to the inclusion in the report of the matters based on his information in the form and context in which it appears.