West Wits Mining Limited Updates on IDC Due Diligence and Funding For Qala Shallows Project

West Wits Mining Limited (ASX: WWI) (OTCQB: WMWWF), (“West Wits” or “the Company”), is pleased to provide an update on the Industrial Development Corporation of South Africa’s (IDC) due diligence process for the Qala Shallows, the flagship project of the Witwatersrand Basin Project (WBP) in Johannesburg.

By Mr Michael Quinert

The IDC has initiated its due diligence investigation as part of its proposed ZAR300 million (approximately US$15.8 million) debt facility to fund development capital for Qala Shallows.

Mr. Michael Quinert, Chairman of West Wits, stated, “The commencement of the IDC team’s due diligence work signifies a significant milestone towards finalizing funding for Qala Shallows. This not only brings IDC closer to providing final terms but also offers assurance to other potential funders who respect the IDC’s process. We are confident that our team’s extensive work showcasing the project’s robust economics and technical merit will ensure a successful outcome for this due diligence program.”

IDC Due Diligence

The IDC’s decision to initiate due diligence was spurred by West Wits’ progress in identifying alternative funding sources, including a previously announced US$10 million debt facility from Wingfield Partners, LLC, and advanced proposals from other third parties.

Upon successful completion of due diligence, the IDC will seek approval from its Executive Credit Committee for final terms and conditions. Completing due diligence positively is crucial for finalizing funding terms, mobilizing resources, and commencing operations.

Other Funding Sources

Simultaneously, West Wits Mining is in discussions with other funding sources, finalizing proposed terms with parties in advanced negotiation stages, and engaging with investors following the Company’s participation in the recent Mining Indaba Conference in Cape Town, South Africa.

About West Wits Mining Limited The Qala Shallows project, backed by a comprehensive Definitive Feasibility Study, is projected to produce nearly 1 million ounces of gold over a 17-year lifespan. With a steady-state annual output of over 70,000 ounces of gold at a cost below $900 per ounce, the project is expected to create approximately 1,000 jobs over 18 years, highlighting its significant potential for local economic and community development.

 

For further information contact:

Keith Middleton [email protected]
General [email protected]

Articles of Interest