keysbrook funding update, page-13

I decided to email MZI myself yesterday and was veryy happy to recieve this response from Keith today.

My email;
Is financing still tracking as expected? I know it’s due in June due to some delays, but with the current SP dropping I’m slightly concerned. Are off-take agreements needed before financing can happen? Is discussions with SRE still progressing?

I’m a relatively small shareholder with 500,000+ shares but being young (20) it’s a lot of money for me to invest, so it’s hard not to be edgy. It was also fairly unnerving to also read Hartley’s report on the MZI website “assuming” a cap raising. Could this issue be addressed in any future announcements?

I’m still fairly confident of this shares long term prospects at the end of the day. June looks to be a large month for MZI, so fingers crossed.

Thanks,




This is Keith's response;

"Thank you for your recent correspondence.

In response to your queries I can advise;
1) An announcement regarding the financing will be made to the market immediately the approvals are received from the banks.

As with any process or negotiation where there are third parties involved, timing cannot always be pin-pointed with a high level of certainty, as much as we would all like that to happen. The bank due diligence process has been incredibly thorough and commensurately slow. What I can say is that the banks are advancing and advancing positively, albeit, slowly.

Yes, I am still confident the banks will approve debt
facilities.

2)Offtake levels are one of those items that are part of the banks approval conditions and as yet we are still awaiting on those approvals. It is normal in project financing for a certain level of offtake 50%, 75%, 80% or whatever to be required as a CP to first draw.

3)Discussions with Stirling are continuing though formal mediation processes.

4)As I am sure you are aware the Hartleys' research report is a document prepared by Hartleys and was based on their own generated set of assumptions, these are not MZI's assumptions.

We have made huge inroads this year and many people forget that at the beginning of the year we still had nearly 30 contracts to be negotiated and finalised and now we only have 4-5 left. We have increased the resource by +60%, had new transport routes approved to save costs and time and one good thing from the current market fallout is that construction and mining contract costs are moving in our favour.

We look forward to keeping the market advised of further achievements."

I thought it was a really good response from the company.