Sirius Minerals plc’s plans to complete its North Yorkshire polyhalite mine and processing plant in northeast England have been thrown into doubt today after the company suspended a proposed US$500 million bond offer, citing current market conditions.
The company said it intends to revisit the market when conditions have improved later this quarter. It had launched the bond on July 19.
Sirius Minerals needs to complete the full US$500 million bond sale before Oct. 30, 2019 to unlock a US$2.5 billion revolving credit facility from JP Morgan, as part of its ambitious US$3.8 billion stage 2 financing requirement to complete its polyhalite project.
However, Bloomberg cited Liberum Capital Markets analyst, Richard Knights, one of Sirius’ corporate brokers, as reminding that Sirius still has effectively two months to get the bond done.