A US$700,000 loan facility was entered into with European based investor Lars Bader who will also be issued 25,536,000 options at 4 cents per share with an 18-month maturity.
Volt chief executive officer Trevor Matthews said this latest funding support from a sophisticated European-based investor shows confidence in the company’s ability to not only close the development funding but demonstrates long-term value in Volts Bunyu Project.
He said: “With this interim funding now secured we have the requisite funding flexibility to finalise the Tanzanian note offer approval as part of the development funding process.
“We continue to progress the Mauritian bond issue approval with the Stock Exchange of Mauritius and advance discussions with an African development bank as well as North American and African institutional investors.
“We are looking forward to finalising this funding process and shifting our focus towards advancing development at our world-class Bunyu Project.”
The company continues to simultaneously advance several funding strategies to secure the US$40 million required to complete the stage I development of the Bunyu Graphite Project in Tanzania.
Strategies being pursued include a note issue on the Dar es Salaam (DSE) in Tanzania and a similar bond issue on the stock exchange of Mauritius.