coal and truckMCLEAN COUNTY, Ky. (11/27/19) — Paringa Resources Limited announced royalty proceeds to finance Buck Creek Mining Complex in McLean County have been received in raising $9 million (before costs) in royalty financing.

The proceeds will be used to fund Poplar Grove’s mine ramp-up in Rumsey to positive cashflow, company officials reported Tuesday.

Paringa also reported executing an amendment to the Term Loan Facility with Tribeca to resize the second tranche of the TLF, from $16 million to $10 million to ensure the previously announced supply agreement with Big Rivers Electric Corp. and issues arising from a funding gap do not result in default under TLF.

Royalty financing equates to 2 percent of gross revenue from all coal leases with the Buck Creek Mining Complex over the life of the mine. Since 2008, Paringa and its subsidiaries report they have secured more than 300 individual leases covering an area totaling approximately 41,000 acres.

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