Weatherly International PLC said June 1 that its directors appointed Simon Kirkhope and Andrew Johnson of FTI Consulting LLP as administrators to the company due to the position at its Tschudi mine in Namibia remaining "fundamentally uncertain."
In addition, Weatherly International's shares have been suspended from trading on the London Stock Exchange's AIM until its financial and operational position is clarified.
In May, the company warned that an increase in water inflows at its Tschudi copper mine in Namibia was expected to affect production.
Weatherly International has also terminated the formal sale process initiated in late April, when it announced a strategic review, and reported the receipt of written notification that Orion Mine Finance is unlikely to allow further drawdowns under an existing uncommitted loan facility.
In July 2017, Orion Mine Finance agreed to provide a US$10 million facility to the company to help with development work at Tschudi. Weatherly International had been in discussions with Orion Mine Finance about a long-term restructuring of its debt.
A recently updated pre-feasibility study increased the posttax net present value of the company's Berg Aukas zinc-lead-vanadium property in Namibia to US$74 million.
