Our Resource Finance team offers innovative and optimised solutions to our clients in the mining as well as the oil and gas sectors in sub-Saharan Africa. The team collaborates with a number of other business units within RMB in order to provide holistic solutions to clients.
Our extensive offering includes:
- Project finance and limited recourse offerings – RMB offers limited recourse finance for mining projects in South Africa and the rest of Africa, including project finance, export credit agency funding and asset-backed financing. Examples of this include Pan African Resources and New Liberty Gold Mine.
- Acquisition finance – RMB underwrites financing packages for mergers and acquisitions via a range of products, including normal loans and preference shares. We are able to offer bridging loans so that clients can demonstrate funds certainty. We then structure sustainable longer term solutions with clients at a later stage. A good example of this is the Sibanye-Stillwater deal.
- Indigenisation structuring and financing – RMB is a top rated structurer, arranger and underwriter of financing required for BEE transactions in the mining sector. We have concluded such deals for Exxaro Replacement BEE and Petra Diamonds.
- Corporate debt solutions – RMB provides flexible debt solutions to optimise the capital structures and tax position of mining companies. Examples of this in the mining sector include Richards Bay Minerals and First Quantum Minerals.
- Commodity linked financing – RMB structures non-traditional commodity loans such as gold and copper loans with various benefits to clients, such as for Pan African Resources.
- Junior debt financing – RMB offers financing products across the capital structure, ranging from senior debt to junior debt in order to assist clients to fill funding shortfalls. We financed New Liberty Gold Mine in this way.
Oil and gas sector
- Project finance – RMB works across the oil and gas industries with a specific focus on the upstream (development finance, receivables finance and reserve based lending), midstream (oil and gas pipelines and storage facilities) and oil services industries. We underwrite large numbers in order to deliver a transaction quickly and then syndicate to the rest of the lending market. An example of such a deal is the Coral vessel finance.
- Acquisition finance – RMB provides underwriting of financing packages for mergers and acquisitions. A good example of this is the Assala deal.
- Corporate debt solutions – RMB provides flexible debt solutions to optimise the capital structures and tax position of companies. Examples of this in the Oil and Gas sector include the deals for Sasol and Sonangol.
- Prepayment facilities – We offer prepayment finance facilities that are ring-fenced against future production, for example, the Falcon deal for Chevron, the Santolina deal for Shell, and the Satellites deal for Exxon.
- Reserve based finance – We also offer other ring-fenced reserve-based finance facilities that are linked to the value of the underlying borrowing base assets. This is done to support companies that want to develop assets in conjunction with government and their JV partners. Examples of deals include Petrobras, Assala and Kosmos.