Fortescue Metals Group Limited (ASX:FMG) says it has secured a $US1.5 billion funding facility to aid the expansion of its iron ore operations in Western Australia.
A term loan and a revolving credit facility has been established which will mature in December 2013.
Fortescue’s chief says the facility will provide a short term funding solution to support the company’s expansion to 155 million tonnes per annum.
The Pilbara focused miner exceeded its June quarter guidance figures and intends to maintain its production rate at about 60 million tonnes per annum for the September quarter.
The ramp-up of production to 155 million tonnes per annum will start through the December quarter costing about $US9 billion.
In the first half of its 2012 financial year Fortescue Metals posted a net profit of $789 million.