Walkabout secures bridge funding amid shipping delays
Africa-focused Walkabout Resources has announced that shipping delays caused by port congestion at Dar es Salaam are impacting the export of graphite concentrate from its Lindi Jumbo project, in Tanzania. This has led to a cash flow crunch for the company.
The delays, which affect planned shipments of over 1 500 t, are now expected to push exports into early November.
Walkabout typically receives 80% of the shipment's value upon loading from its partner, Wogen, making the delays particularly challenging for the mine's cash flow.
In response to the need for working capital, several directors and major shareholders have stepped in to provide short-term relief, extending bridging loans totalling A$600 000.
The delay in cash flow has also required the company to seek an extension of its senior debt obligations with Gemcorp. The senior lender agreed to extend the September interest payment to November 11, 2024, and to advance an additional $500 000 under tranche B of the facility.
The company will pay an extension fee of 3% and capitalise an additional 5% interest until the loan is refinanced. In addition, the company’s requirement to inject further cash into Lindi Jumbo has been increased to a minimum of $5-million.
Walkabout states that Lindi Jumbo products remain in high demand by end customers, with requests for product delivery in 2024 exceeding forecast production. Daily ore feed rates have been increasing over September and October and have been accompanied by improvements in all the other key operational metrics.
Production is expected to reach the planned output rate of 40 000 t/y by the start of the 2025 calendar year.
Comments
Research Reports
Latest Multimedia
Showroom
At John Ratcliffe, we are aftermarket specialists for heavy-duty on and off-road vehicles. We engineer and retrofit advanced safety systems, engine...
VISIT SHOWROOM
Weir is a global leader in mining technology. We recognise that our planet’s future depends on the transition to renewable energy, and that...
VISIT SHOWROOM
Press Office
Announcements
What's On
Subscribe to improve your user experience...
Option 1 (equivalent of R125 a month):
Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format
Option 2 (equivalent of R375 a month):
All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors
including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.
Already a subscriber?
Forgotten your password?
Receive weekly copy of Creamer Media's Engineering News & Mining Weekly magazine (print copy for those in South Africa and e-magazine for those outside of South Africa)
➕
Recieve daily email newsletters
➕
Access to full search results
➕
Access archive of magazine back copies
➕
Access to Projects in Progress
➕
Access to ONE Research Report of your choice in PDF format
RESEARCH CHANNEL AFRICA
R4500 (equivalent of R375 a month)
SUBSCRIBEAll benefits from Option 1
➕
Access to Creamer Media's Research Channel Africa for ALL Research Reports on various industrial and mining sectors, in PDF format, including on:
Electricity
➕
Water
➕
Energy Transition
➕
Hydrogen
➕
Roads, Rail and Ports
➕
Coal
➕
Gold
➕
Platinum
➕
Battery Metals
➕
etc.
Receive all benefits from Option 1 or Option 2 delivered to numerous people at your company
➕
Multiple User names and Passwords for simultaneous log-ins
➕
Intranet integration access to all in your organisation
