AXMIN Inc. (AXM-TSX Venture) is a gold exploration company with a track record of finding and developing mines in Africa. AXMIN's strategy is to focus on newly democratic countries where it has the opportunity to acquire highly prospective ground as an early entrant.

In June 2010, AXMIN announced the completion of the acquisition of AfNat Resources Limited, at the same time the Company announced a restructuring of management and the Board, George Roach was appointed President and CEO. Shortly thereafter, in August 2010, AXMIN was awarded a 25 year Mining Licence (ML) for its Passendro Gold Project and two 3-year renewable exclusive Exploration Permits that ring-fence the ML and cover 90 sq km of strike along the prolific Bambari greenstone belt.

The Passendro Gold Project is located in the centre of its 90 km long Bambari permits, located in north-central Central African Republic (CAR). Passendro has as of June 2009, a NI 43-101 Indicated mineral resource of 2.03 million ounces Au (31.5 Mt grading 2.0 g/t Au) and Inferred mineral resource of 1.10 million ounces Au (21.7 Mt grading 1.6 g/t Au).  In January 2011, AXMIN announced the results of its revalidated Feasibility Study, which indicated a robust project with a NPV at 5% discount of US$340 million, an IRR of 32% and a low cash cost of US$484/oz over a mine life of 8.3 years. In addition, the first three years provide an average annual production of 205,000 ounces with a cash cost of US$437/oz resulting in a rapid project payback of 2.2 years. With the feasibility study in hand, AXMIN has all the documentation it needs t secure the debt financing to develop Passendro project.

Highlight of the 2011 FS is detailed below:

As of October 2012, AXMIN, with the assistance of its financial advisors Endeavour Financial, have executed Mandate Letters for a total of $235 million in debt facility which is a mix of senior and subordinate convertible debt with a number of development agencies and commercial banks from Europe and South Africa. The debt providers’ Mandate Letters are commitments to arrange financing on a best efforts basis and are subject to legal, technical and environmental due diligence, execution of acceptable terms and documentation and obtaining final credit and board approvals.  AXMIN continues to negotiate with additional debt lenders in addition to exploring all of options available to the Company for the remainder of its capital requirements.

Details of the Mandate Letters signed to date are as follows:

·         On July 20, 2011, AXMIN executed a Mandate Letter with Standard Bank, the terms of which, Standard Bank is appointed as the MLA to arrange and underwrite a $100 million ECIC backed term loan facility.

·         On January 26, 2012, AXMIN signed Mandate Letters with four new financial institutions for an additional $85 million in debt facility.  

·         On March 9, 2012, AXMIN signed a Mandate Letter with the IFC for a further $25 million in senior debt and $25 million in subordinated convertible debt. IFC has provided an indicative term sheet where it will play a lead role in coordinating the overall debt package for the Development Finance Institutions (“DFIs”).