Andrada Mining Defers £7.7m Loan Repayment to Fund Expansion at Namibia’s Uis Mine
Andrada Mining Delays £7.7m Convertible Loan Repayment to 2027 to Accelerate Uis Mine Expansion in Namibia
Andrada Mining Limited has postponed the repayment of £7.7 million in convertible loan notes by one year, extending the maturity date to July 2027 as it prioritises expansion at its Uis Mine in Namibia and aims to scale production across its critical minerals portfolio.
Loan restructuring terms revised
The company confirmed it has amended loan notes originally issued in July 2023. Key changes include:
- Extension of maturity from 20 July 2026 to 20 July 2027
- Reduction of the conversion price from 9.45 pence to 5 pence per share
- Fixed annual interest rate of 12%
The £7.7 million facility was raised through the issuance of 77 unsecured convertible loan notes, each valued at £100,000.
One of the largest holders, The Orange Trust (New York), controls 40 notes worth £4 million and holds approximately 15.72% of Andrada’s issued share capital.
Capital redirected toward growth projects
Funds raised through the facility have supported development initiatives including the commissioning of a tantalum circuit, a bulk sampling plant, and ongoing exploration work.
Chief Executive Officer Anthony Viljoen said the restructuring supports the company’s next phase of growth.
He stated that the revised structure, combined with recent equity fundraising, will strengthen cash flow and allow the company to prioritise operational expansion over near-term debt repayment.
Focus on Uis Mine expansion
Andrada said its board has reviewed capital allocation priorities and concluded that investment should focus on value-generating development activities, particularly expansion at the Uis Mine, rather than immediate debt reduction.
The company also continues to evaluate traditional debt financing options as part of a broader funding strategy, while maintaining the amended loan notes to preserve financial flexibility during its growth phase.
Incentives for conversion and warrants issued
The reduced conversion price of 5 pence is designed to encourage noteholders to convert debt into equity.
Andrada noted that this still represents a premium compared with recent trading levels, including a 4.00 pence closing price and a 3.66 pence 30-day volume-weighted average price as of 28 April 2026.
As part of the restructuring, the company will also issue 15.4 million new warrants exercisable at 5 pence, valid until April 2027, replacing previously issued warrants that expired unexercised.
The move supports Andrada’s broader strategy to expand production at the Uis Mine, a historic tin operation in Namibia, while also advancing opportunities in tantalum, lithium, and other critical minerals derived from the same asset base.
