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Additional Information

Market:	ASX
Sector:	Gold Mining
EPIC:	GDO
Latest Price:	0.48 (0.00%)
52-week High:	0.56
52-week Low:	0.29
Market Cap:	388.32M

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Gold One International Full Gold One International profile here

Gold One International (ASX: GDO, JSE: GDO) flagship operation is the Modder East mine, also owns the nearby existing Sub Nigel mine. The company's assets include a pipeline of Southern African projects comprising 21.71 million ounces.

Gold One is currently under a A$0.55 cash offer for a minimum 60% stake from a Chinese consortium.

Gold One International executes term sheet for US$65m debt facility

Wednesday, June 23, 2010

Gold One International (ASX, JSE: GDO) has executed a mandate and term sheet for a US$65 million debt facility with two leading international banks, Absa Capital (a division of Absa Bank Limited) and BNP Paribas, achieving a critical milestone in the company's proposed debt restructuring.

The US$ 65 million facility will ensure Gold One has the capacity to refinance all its convertible bonds, should some or all of the bondholders exercise their once-off put option in December 2010.

The signing of the term sheet follows several months of financial, legal, and technical due diligence by Absa Capital and BNP Paribas in relation to Gold One and its Modder East gold mine, located near Johannesburg in South Africa, which will serve as security for the debt facility.

The company said this detailed term sheet will form the basis of the final legal agreements which are expected to be executed in the coming quarter.

Neal Froneman, President and Chief Executive Officer, said "the signing of the Term Sheet not only demonstrates our ability to raise corporate debt, but also provides independent third party validation of the technical fundamentals of Gold One and its Modder East gold mine, which have been scrutinised over a number of months by ABSA Capital and BNP Paribas.”

The debt facility is subject to the completion of suitable loan and security documentation, and includes conditions precedent usual for facilities of this nature which includes amongst others the completion of a satisfactory final due diligence and approval from the respective credit committees.

The company said on June 17 that a production rampup at the Modder East gold mine is continuing as planned, and that the build up rate required to attain this year’s gold production targets of 85,000 to 100,000 ounces is being achieved.

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