Minsec completes Copperco placement

Perth-based Mineral Securities Ltd has completed its $1.5 million share and $5.5 million convertible note placement in Perth-based mineral explorer CopperCo Ltd, raising funds for the exploration and production expansion of the company's Lady Annie copper project.

To facilitate the settlement of the transaction Minsec's finance facility with Macquarie Bank Ltd has been extended by $7 million to $15 million.

The copper project will be assisted by a $5 million debt facility being provided by LinQ Capital Ltd, in its capacity as responsible entity for the LinQ Resources Fund, as part of the project financing package for the development of CopperCo's Lady Annie Copper Project.

The total subordinated debt facility of $20 million is being provided to CopperCo by a syndicate of Macquarie Bank Ltd, Glencore International AG and LinQ.

For provision of its portion of the facility, LinQ will be issued with 5 million unlisted CopperCo options exercisable at 65 cents per share on or before 30 June 2010.

The company also has an existing $5 million loan facility with CopperCo which is set for repayment later this month.