Andrada Mining Ltd said all conditions for the Development Bank of Namibia’s loan to upgrade the Uis mine have been fulfilled or waived and financial close has occurred.

An application to draw down the US$5.8 million facility has now been made and funds are expected to arrive this week, the statement added.

Upgrades using the loan funds will help boost tin recoveries by up to 69% and are part of the expansion of the mine to include lithium production, said Andrada.

Anthony Viljoen, chief executive, commented: "The conclusion of the DBN funding is an essential component of the overall funding and development strategy.

“These proceeds will be used to implement the improvements at Uis Mine which will enhance the plant's productivity and output.

“The targeted increase in the tin recovery rate should complement the royalty portion of the Orion funding by enabling Andrada to achieve the requisite thresholds of concentrate tonnages.

“The improvement in cost efficiencies and overall productivity at Uis lays the foundation for the management of the lithium processing plant and other future operations.

“Importantly, the DBN and Orion funding will enable us to implement various strategic initiatives necessary for further production growth."