my post had a small typo, it is tranche C2 that is undrawn.
Excerpts as follows:-
In April 2023, the Group entered into a new financing agreement with the lender (Macquarie Bank Limited) which consisted of the following allocations: • Refinanced Facilities A, B and C with an interest rate of 6% coupon rate plus BBSW (2022: 11% coupon rate plus BBSW) with a new repayment schedule up to 30 June 2025 and a maturity date of 30 June 2025 (2022: 10 November 2023). • Obtained a new $40 million secured appraisal drilling facility for the South Erregulla gas field (Facility D). This facility is repayable on and has a maturity date of 31 December 2024 or on the date the $80 million contingent instrument facility is repayable if committed (whichever is the later). Facility D has an interest rate of 9% coupon rate plus BBSW which may reduce to 6% coupon rate plus BBSW if the $80 million facility becomes committed. • Negotiated a secured $80 million contingent instrument facility relating to the South Erregulla domestic gas development. This facility is currently uncommitted and is subject to approval by the lender.
As part of the financing agreement detailed further in the section below, the refinancing of Facilities A to C consisted of a new repayment schedule to the updated maturity date of 30 June 2025. The first repayment is $6.7 million at 31 December 2023 with subsequent payments of $3.3 million due each subsequent quarter to 30 June 2025. The repayment amounts are applied on a pro-rated basis to the outstanding principal on Facilities A to C. As $13.3 million is due within 12 months, this amount has been recognised as a current borrowing. (v) Current borrowings consist of $13.3 million for Facilties A to C repayment amounts due within 12 months and accrued interest of $0.2 million. Non-current borrowings consist of $6 million Rabobank facility and $12.9 million repayment amounts for Facilities A to C due after 30 June 2024 offset by $4.1 million capitalised debt costs
As of 30/6/24, STX will have repaid $13.3M of Tranches A-C debt per the above under the repayment schedule. Whether this could be redrawn and the repayment schedule reamortised isn't clear. The Money of Mine guy didn't refer to the tranches specifically, he just was concerned about how STX reference and report their "funds available position". I feel sure that when Mir and Wot and anyone else that asks get told, no, CR not happening, it is because the refinance of these facilities is one tick away from being locked in. Until that final tick gets done, the CR theory has legs IMO.
Agree a fully underwritten renounceable rights issue or SPP would be preferable should debt not be available.
STX Price at posting:
20.0¢ Sentiment: Hold Disclosure: Held
(20min delay)