Premier African Minerals falls on funding issues

Shares in AIM-listed miner Premier African Minerals (LON:PREM) dropped by 6.07% to 0.10p (as of 13:50 GMT) after it confirmed that it was in discussions regarding funding assistance for the recommissioning of its RHA tungsten mine in Zimbabwe with the Ministry of Industry. Premier currently holds a 49% interest in the mine and the potential financing deal may include restructuring of ownership.

CEO George Roach said: “We are pleased to have had further correspondence from the Ministry of Industry, and welcome the proposed financial commitment from the Ministry of Industry to assist in bringing RHA back into production.

“The Ministry of Industry has requested that we now meet to deal with the details associated with this proposed financing and finalisation of the restructuring. We expect to meet the Ministry of Industry at their earliest convenience.

“We believe that the proposed commitment will transform the project and we look forward to a close collaboration with the government of Zimbabwe in bringing RHA back in production“.