Papua New Guinea-based mining company Marengo Mining has signed a loan conversion and debenture purchase agreement with existing investor Sentient Group, a global natural resources fund manager. The transaction will be structured through Sentient Global Resources Fund IV. Post-transaction, Sentient’s holding will increase from a 22 percent stake to about an 80 percent stake. Marengo Mining intends to use the financing for the development of the Yandera Project, a copper mining venture, and to fund its working capital requirements. The transaction is subject to the approval of Marengo’s shareholders, the Toronto Stock Exchange and the Australian Securities Exchange.