Premier African Minerals Limited (AIM:PREM) announced that it has entered into an unsecured loan facility with AgriMinco Corp. for gross proceeds of $250,000 on April 27, 2015. The amount will be received in two tranches. The loan is unsecured and interest will accrue at a fixed rate of 5% per annum. The loan facility, together with any accrued interest, will become repayable by the company in 24 months from the date of the signing of the loan facility or earlier with the prior consent of all third party lenders. The investor may elect to convert all or part of the loan facility into new units when the loan facility becomes payable.

Each unit comprises one new ordinary share in the capital of the company and one new warrant. The conversion price of the new shares under the loan facility shall be the United States dollar equivalent of the fifteen trading day volume-weighted average price of the ordinary shares two business days before the earlier of the maturity date and the date of a repayment notice, if any. Each new warrant would entitle the unit holder to subscribe for one new share at an exercise price equivalent to a 20% premium to the conversion price. The warrants can be exercised over a 24 month period from the date of issuance.