Norton Gold Fields finalises $75 million funding package
Friday, August 24th, 2007
The directors of Norton Gold Fields Limited are pleased to announce that Norton has received equity subscriptions totalling $35 million, placed by Grange Securities Limited with its clients. The offering of $40 million in convertible notes is expected to close on 27 August.
Grange is a subsidiary of the global investment bank, Lehman Brothers.
The funds will be used to acquire the Paddington Gold Mine, currently owned and operated by Barrick Gold (Barrick), the worldâ€™s largest gold producer.
As announced on 26 April 2007, Norton has entered into an agreement with Barrick to acquire its operating Paddington Gold Mine, plant and operations. The directors have scheduled completion of the acquisition for 24 August.
â€¢ $35m in equity has been placed by Grange Securities and the issue of $40 million in convertible notes is expected to close on 27 August 2007
â€¢ The general meeting of shareholders on 23 August approved the acquisition of the Paddington Gold Mine
â€¢ 330,000 ounces of gold hedging has been put in place at an average price of A$875 per ounce over five years
â€¢ Additionally, 145,000 ounces of gold has been covered with put options
â€¢ Norton on the path to becoming a significant mining house