Highlights

  • GoldStone Resources extends gold loan maturity from 31 Dec 2025 to 31 Dec 2026 with AIMS.
  • Interest payments on the gold loan are temporarily deferred until 30 June 2026.
  • The extension aims to optimize Homase mine cash flow amid changing gold prices.

GoldStone Resources Limited (LSE:GRL) has amended the terms of its standstill agreement with Asian Investment Management Services Ltd (AIMS), originally entered into on 29 December 2023. The amendment relates to the company’s existing gold loan agreement, initially executed on 19 June 2020.

The revised agreement extends the maturity date of the gold loan from 31 December 2025 to 31 December 2026. In addition, interest payments on the loan are suspended for six months, until 30 June 2026, providing temporary relief on financing obligations.

Focus on Cash Flow Management
The company stated that the updated terms are intended to manage cash flow at the Homase mine during a period of fluctuating gold prices. The adjustment allows the company to address working capital requirements while maintaining operations.

Background on Gold Loan Agreement
The original gold loan was signed with AIMS to support the company’s operational and development activities. The standstill agreement, first established in December 2023, had set specific terms for repayments and interest obligations, which are now temporarily revised under the new amendment.

Operational Context
GoldStone Resources emphasized that the agreement modification provides additional flexibility for ongoing operational activities and development planning at the Homase mine. The revised terms are part of broader financial management efforts without altering the company’s existing development objectives.

Share Performance
GRL shares closed at GBX 0.60 on December 30.