Seafarms looking to secure $150 million in loan for Project Sea Dragon construction

THE company behind Project Sea Dragon, a major aquaculture project in Northern Australia, has appointed a financial executive to help it source $150m in loans for stage one construction.

Seafarms Group plans to farm these types of black tiger prawns for its Project Sea Dragon.

• Project Sea Dragon needs shareholder vote as capital raising hits roadblock

THE company behind Project Sea Dragon, a major aquaculture project in Northern Australia, has appointed a financial executive to help it source $150m in loans for stage one construction.

ASX-listed Seafarms announced to the stock exchange this week that it had appointed a “sole arranger” from a “leading global financial services group” to arrange and agree terms and conditions of a debt facility.

The contract is for six months. and is “not a commitment by the Arranger to provide finance”.

Seafarms’ executive chairman Ian Trahar said the move, while “not material in itself”, was an important step toward financing the $1.45bn project.

“We look forward to working closely with the arranger to progress the due diligence, credit processes and legal documentation for the project debt funding expeditiously,” he said.

“With a view to achieving financial close as soon as possible and getting on with the job of constructing (the project).”

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It comes a month after the company asked shareholders to vote through the sale of millions of dollars in shares or risk running out of working capital.