China development bank joins loan syndicate

[Sparty]

ASX ANNOUNCEMENT / MEDIA RELEASE

Meeting a lithium future
4 December 2009
CHINA DEVELOPMENT BANK JOINS LOAN SYNDICATE
Highlights

•  China Development Bank Corporation (CDB) joins project finance syndicate lead by Raiffeisen Zentralbank Österreich AG (RZB)
  
   CDB is China's leading financial institution with total assets of 3,821 billion RMB
  
   Signifies confidence of lenders in Galaxy’s projects and strategy Emerging lithium producer, Galaxy Resources Limited (ASX: GXY), is pleased to announce that China Development Bank Corporation (CDB), China’s leading financial institution, has joined the project finance syndicate lead by Austrian bank, Raiffeisen Zentralbank Österreich AG (RZB).

Both banks, RZB and CDB have conducted their respective due diligence on the Mt Cattlin and Jiangsu Projects and have now approved the loan for A$130 million (US$ 105 million).

CDB is an international Chinese bank established in 1994 with total assets of 3,821 billion RMB. During the recent wave of globalisation, the bank has taken the opportunity to enhance its role and reputation on the global stage. CDB has played a prominent role in the development of China’s economy and society.

Galaxy Managing Director, Mr Iggy Tan said that attracting a project loan facility from two independent international banks of the calibre of RZB and CDB is real benefit for the Company.

“We are delighted to have RZB and CDB as our new commercial finance partners and having recently achieved our first drawdown of US$20 million, we look forward to accelerating the development of our projects and generating a return for our shareholders.” Mr Tan said.