Nautilus Identifies Potential Delay to Vessel Build
TORONTO, ONTARIO, Jun 01, 2012 (MARKETWIRE via COMTEX) -- Nautilus Minerals
(CA:NUS)(aim:NUS)(otcqx:NUSMF) announces that there may be a delay in the
finalisation of funding for the vessel to be used in connection with its Solwara
1 Project and a potential consequential delay to the program for the vessel
build. In turn, this may result in a delay to the commencement of operations at
Solwara 1.
Nautilus and its strategic partner, Harren & Partner, have been negotiating the
terms of third party financing related to the production support vessel for its
first development project, Solwara 1, in Papua New Guinea. The vessel is planned
to be owned and operated by the joint venture company (Vessel JV) to be formed by
the parties (see links section for full press release).
Harren & Partner has advised that it will no longer be able to contribute the
full amount of the equity to the Vessel JV contemplated by the Agreement signed
by the parties in April 2011. The change to Harren & Partner's position, linked
to a tightening of banking rules in the current European crisis and the depressed
shipping market, may delay the finalisation of the terms of the third party
funding and result in a consequential delay to the program for the vessel build.
Harren & Partner and Nautilus continue to work together to resolve the change in
funding requirements, which includes evaluating alternative vessel and associated
funding solutions.
As at April 30, 2012 Nautilus held US$119.1M in cash and cash equivalents.
Conference Call
A Conference Call and Webcast will be held next week, details of which will be
provided in due course. |
