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Xceed Resources Chairman Buys Shares On Market

Xceed Resources (ASX: XCD) chairman Patrick O'Connor has increased his stake in the company, acquiring 200,000 shares in on market trade.

He paid $24,000 for the shares, or an average price of A$0.12.

O'Connor now holds 3,103,598 shares in Xceed.

Xceed had last month secured development finance from South Africa's largest financial institution - the Standard Bank of South Africa - for its Moabsvelden thermal coal project.

The total financing amount from Standard Bank is R179 million, and based on the current exchange rate of R9.2 to $1, this equates to A$19.5 million. The estimated project development cost for the Moabsvelden project is R268 million or A$29.1 million

Xceed has already secured an investment by Thebe Mining Resources, and along with the Standard Bank funds - provide for R244 million (91%) of the estimated Moabsvelden development costs leaving the balance of R24 million or A$2.6 million plus working capital to be secured from other sources.

Moabsvelden is expected to have a mine life in excess of 14 years with the potential to produce export quality as well as domestic quality thermal coal from an open-cast, low strip mine, and is located in the Witbank coal field.

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