Ormonde Mining gets $25m cash injection to develop flagship Spanish tungsten mine
Irish resources firm Ormonde Mining has its first injection of equity capital from US private equity giant Oaktree Capital, worth $25m, to progress its flagship asset, a Spanish tungsten mine.
US fund Oaktree Capital recently took a majority stake in the Barruecopardo mine after shareholders in Ormonde voted overwhelmingly in favour of a deal last month.
The move saw the fund and the company split ownership of the tungsten mine 70pc-30pc in return for almost $100m (€88m) in debt and equity.
Ormonde says that it has now completed all conditions relating to the Oaktree Financing. In a statement the Meath-based firm said has is examining a construction timeline for the project and is aiming to begin commissioning for the venture by the end of next year.
Kerr Anderson, Ormonde's Managing Director, said: "I am extremely pleased to report the closing of the $99.7m Oaktree Financing, and the receipt by the project company of the initial $25m in equity funding. Activities that commence the project's development timeline have now been initiated, with commissioning targeted by the end of 2016.”