Cornish Metals has lined up a further £52m in credit facilities from two of its substantial shareholders, building on the US$210m Nordic bond placement announced just over a week ago and shoring up funding for its South Crofty tin project in Cornwall.
The new facilities come from the National Wealth Fund and Vision Blue Resources, existing investors holding 28.45% and 29.08% respectively, with the National Wealth Fund providing up to £35m and Vision Blue providing up to $22.75m.
Each is split into a committed Tranche 1 and an uncommitted Tranche 2, giving Cornish flexibility on draw-down.
The financing will support underground mine development, shaft refurbishment, surface facilities, infrastructure and general operating purposes.
Don Turvey, CEO of Cornish Metals, said: “This funding provides the Company with the financial runway to progress through to the final investment decision for the South Crofty project while continuing to advance and derisk the project by maintaining the high level of activities across site.”
“It also signals the National Wealth Fund’s and Vision Blue’s continued support for Cornish Metals and our goal to restart tin mining in Cornwall, providing a sustainable supply of this critical mineral to the West.
“As part of the project financing process, the Company has been engaging with investment parties, including strategic offtakers and institutional investors, interested in financing the development of South Crofty, and we are pleased with the level of interest we are receiving, further highlighting the significance of this project. We thank the National Wealth Fund and Vision Blue for their continued support.”