LONDON: Aminex, a company specializing in exploration and development, has announced the establishment of a $3 million funding facility with Eclipse Investments LLC, its principal shareholder.
This strategic financial support is structured to be accessible over a 24-month period, with an initial tranche of $1.5 million guaranteed and the subsequent tranche subject to Eclipse’s discretion.
The agreement stipulates that any funds drawn from this facility will be offset against Aminex’s $35 million carry for the Ntorya development, as managed by ARA Petroleum Tanzania, again at the discretion of Eclipse. The interest on these advances will be calculated based on the Standard Overnight Financing Rate, with an additional 8%.
In a scenario where the advances have not been set off against the carry, Eclipse retains the right to demand repayment, although not before the end of December 2026. Notably, the facility does not require any security or arrangement fees from the Aminex group.
Charles Santos, the Executive Chairman of Aminex, expressed gratitude towards Eclipse for their ongoing support and the provision of this funding facility. He remarked, “This funding arrangement is a testament to the confidence in our company and the Ntorya development project. Although we have sufficient funds until the end of 2024, the anticipated revenues from the Ntorya gas discovery have led us to project first revenues by mid-2025. With the final preparations underway, securing this funding now is a prudent step for Aminex.”
The move is seen as a proactive measure to ensure financial stability and support the commencement of work on the Ntorya development, which is expected to be a significant contributor to the company’s revenue stream in the near future.
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