Nautilus seeks funding


NAUTILUS Minerals, the operator of Solwara 1 project, hopes to secure  $US10 million (K31.41 million) by the end of this month to fund its operations and develop the project.
It said in September that based on its cash position and budget, in order to maintain the company’s operations and the development of the Solwara 1 project, the company needed to obtain new funding of around US$41 million (K128.81 million) before the end of the year.
In particular, it had needed at least US$15 million (K47.12 mil) before the end of last month to meet contractual commitments in relation to equipment forming part of the seafloor production system.
Yesterday, Nautilus said discussions were continuing with various parties involved in the manufacture of the seafloor production system. It is making progress with respect to deferring some of its immediate cash flow requirements. As a result, the firm is updating its previous reference to a funding requirement of US$15 million by Oct 31, to a funding requirement of US$10 million (K31.41 mil) by Nov 30.
“There can be no assurances that the company will be successful in securing the necessary additional financing transactions within the required time,” he said.
“Failure to secure funding may result in the company engaging specialist advisers and taking certain steps aimed at maximising shareholder value such as undertaking various transactions including, without limitation, asset sales, joint ventures and capital restructurings.”

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