Bri­erty goes back to bank for fund­ing

Pilbara News - - News - Peter Wil­liams

Con­trac­tor Bri­erty is ne­go­ti­at­ing ad­di­tional bank fund­ing as it strug­gles to stay afloat in the wake of last year’s losses from a dis­as­trous road project.

Bri­erty has been re­ly­ing on the sup­port of its bank since suf­fer­ing a $22 mil­lion loss on the North West Coastal High­way up­grade.

In the course of try­ing to man­age cash pay­ments, the com­pany is un­der­stood to have been telling some sup­pli­ers it is seek­ing $10 mil­lion in fund­ing to keep op­er­at­ing.

Cash-neg­a­tive Bri­erty was in breach of bank debt financial covenants at De­cem­ber 31, and had $3.4 mil­lion avail­able un­der a $35 mil­lion bank guar­an­tee fa­cil­ity.

“We have been work­ing closely with our bank and cred­i­tors over the past year as Bri­erty suc­cess­fully de­liv­ers on its turn­around strat­egy,” chair­man Dal­ton Good­ing said.

“As part of on­go­ing dis­cus­sions with our bank, Bri­erty is cur­rently in the process of agree­ing and fi­nal­is­ing an ad­di­tional line of credit that will bet­ter po­si­tion the com­pany.”

Bri­erty this month in­di­cated a fo­cus on min­ing, ap­point­ing former Min­eral Re­sources and Thiess ex­ec­u­tive Jar­rod Sey­mour as chief op­er­at­ing of­fi­cer.

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