RMB seeking to fund mining projects


RMB Namibia has continued to engage prospective mining projects, as well as the existing operations as the company pursue different investment opportunities, including extending life of mine, private power and capital equipment replacement, Jason Shikalepo, Head of Investment Banking at RMB Namibia told Observer Money.

He disclosed that the RMB has been backing the mining sector since inception, and today supports a number of the mining operations in Namibia for their various banking, funding and risk management needs.

“In recent years, we have arranged and funded mining operations involved in diamond, uranium, gold and zinc commodities, to mention but a few.”

Commenting on funding green hydrogen projects, Shikalepo said the RMB has taken a lead role in facilitating green funding solutions and recognises the immense economic opportunities presented by the prospective green hydrogen industry.

“We continue to partner the various hydrogen players to co-create funding solutions suitable for the different phases of project development”, he said.

Shikalepo said: “We recognise the significant economic importance of the mining sector to the Namibian economy and society, as such take very seriously our role in ensuring the economic sustainability and global competitiveness of Namibian mining assets.”

RMB earlier announced that it had facilitated a US$155 million Syndicated loan for QKR Navachab’s mine expansion.

Shikalepo said alongside the syndicate banks, RMB is funding expansion capital equipment, working capital as well as risk management solutions to de-risk the future of the mine.

RMB has been appointed by QKR Navachab as the initial mandated lead arranger, underwriter, and coordinator of a syndicated loan from Namibian and South African banks.

RMB said the multifaceted solution is crucial for the critical ramp-up of the mining and processing activities. This expansion will significantly scale up the mine’s gold output, making a substantial contribution to Namibia’s economic sustainability. In addition to the funding, RMB and the banking syndicate will provide risk management solutions to optimise the mine’s exposure to commodity prices, currency, and major operating expenses.

“This deal stands out as one of the largest resources transactions structured and executed by a Namibian financial institution. It underscores RMB’s ability to deliver complex, market-leading solutions bringing together stakeholders from across the financial ecosystem fostering shared prosperity for our clients and the communities in which they operate,” said Shikalepo.

RMB said enabling Namibia’s second largest gold mine reflects its commitment to enhancing the economic sustainability of Karibib. “By extending the mine’s lifespan, this initiative will secure jobs and provide a lifeline for numerous small- and medium-scale enterprises operating in region.”

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