PA Resources (STO: PAR)(OSE: PAR) has reached an agreement with its major creditors to provide the company with funding until the end of 2015 in the form of a US$7.5 million short-term credit facility. An initial US$2.5 million tranche has been made available to the company to draw on while the documentation is being finalized. The credit will have priority over the company’s existing debt.
The new credit will allow PA Resources to continue funding its operations during the strategic review process initiated by the board of directors. The aim of the process is to explore the company’s different options with regard to maximizing the value for all of the company’s various stakeholders. The options being explored are long-term funding for all or part of the business, a corporate transaction, or the divestment of individual assets or business units.