Paringa looks to plug funding gap amid slower ramp-up at Kentucky coal mine

摘要

Islamabad—Paringa Resources is looking to raise cash to fund the ramp-up to positive cashflow at its Poplar Grove coal mine, part of the Buck Creek Complex in western Kentucky. The company said September 18 that it has a funding gap due to a slower-than-expected mine ramp-up but expects to be free cash flow positive in February 2020 on a two-unit basis. Paringa entered into a term sheet to grant a 2% gross revenue royalty over the Buck Creek mining complex to Tribeca Global Resources Credit in exchange for $9.0 million. The royalty financing allows the company to resize the second tranche of its $56 million term loan facility from Tribeca to $10 million from $16 million.