News: MZI Resources substantial shareholder Resource Capital Fund increases stake

MZI Resources (ASX:MZI) substantial shareholder Resource Capital Fund has increased its holding in the company to 19.9% from 17.07%.

This follows the conversion of US$516,286 of the RCF loan into 81,986,513 shares as well as MZI paying 16,674,143 shares for the extension of the facility.

RCF now holds 574,214,276 shares in the company.

MZI had earlier this month secured a restructured funding package that will fund its Keysbrook mineral sands project in Western Australia right through to full production.

The new funding arrangements reflect project requirements, with around US$51.5 million in debt facilities from RMB Australia Holdings Limited (RMB) plus foreign exchange hedge facilities.

Resource Capital Fund VI L.P. (RCF) will provide a US$58 million funding package

Overall, the revised funding package represents an increase in committed funding from $106.5 million to $109.5 million, with the difference being due largely to the inclusion of the contingent cost overrun facility to be provided by RCF.