Borneo Resource Investments Ltd. Negotiating Financing Agreement
23.03.2015 | Accesswire
Expects to Complete Strategic Investment of up to US $3,000,000HONG KONG, March 23, 2015 / Borneo Resource Investments Ltd. (OTCQB:BRNE), announced that it is close to completing an agreement pursuant to which a Chinese‑based investor group will invest a total of US$3 million in the Company through the purchase of common shares before the end of the second quarter. This investment is being made in conjunction with the Company's recently announced proposal to seek a secondary listing on the GEM Board of the Hong Kong Stock Exchange. The proposed investment is subject to completion of an onsite due diligence of the Company's gold mining operations in Indonesia, scheduled for the first week of April. The first tranche of the investment is currently anticipated to close by April 10, 2015.
In announcing this transaction, Nils Ollquist, Chairman and CEO of Borneo commented, "This proposed investment comes at a time when Chinese companies are stepping up their investment activities in precious metal producers, particularly gold producers, in Asia. As a result of the intensive development of our ore processing capabilities at our Ratatotok properties over the past few months, we have attracted interest because our capacity has increased significantly. Additionally, the potential investors is pursuing this investment to initiate a proposed secondary listing of our shares in Hong Kong."
Mr. Ollquist continued, "Proceeds of the investment will enable us to provide funds to acquire and develop additional properties in the area, expand our capital investment program and repay existing short-term convertible notes."
About Borneo Resource Investments Ltd. (BRNE)
Borneo Resource Investments Ltd. (OTCQB:BRNE) is a mining company that mines gold and develops gold mines as well as coal mining properties in the Republic of Indonesia. Borneo's current assets include three gold properties. The Company plans to have cash flow-generating investments in gold properties to help fund Borneo's operations and investments in gold.
Forward-Looking Statements: This press release contains forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995 and federal securities laws. For example, we are using forward looking statements when we discuss the indications that the value of our coal reserves. These forward-looking statements are based on the current expectations of the management of Borneo Resource Investments Ltd. only, and are subject to a number of factors and uncertainties that could cause actual results to differ materially from those described in the forward-looking statements. The following factors, among others, could cause actual results to differ materially from those described in the forward-looking statements: changes in the price of coal, a change in the estimate of coal on our concessions, an inability to extract the coal reserves and changes in Indonesian law. Except as otherwise required by law, Borneo Resource Investments Ltd. undertakes no obligation to publicly release any revisions to these forward-looking statements to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events.
CONTACT:
Borneo Resource Investments Ltd.
ir@borneore.com
www.borneore.com