- Cyprium Metals (CYM) signs a term sheet for a copper cathode prepayment facility with commodities company Transamine SA
- The deal will include a 100 per cent offtake arrangement of the copper cathode produced during phase one of the Nifty copper project restart — an amount expected to exceed 140,000 tonnes
- The agreement includes a US$35 million (A$52 million) secured offtake prepayment facility
- It’s part of the A$240-260 million debt funding package to finance the restart of the Nifty copper project, east of Port Hedland in WA
- Shares in Cyprium Metals closed 22.67 per cent higher at 9.2 cents on Thursday afternoon
Cyprium Metals (CYM) shares have spiked today after it announced the signing of a term sheet with commodities company Transamine SA for a US$35 million (A$52 million) offtake prepayment facility.
It’ll be part of the A$240-260 million debt funding package to finance the restart of the Nifty copper project, east of Port Hedland in WA.
Transamine will offtake all of the copper cathode produced during phase one of the Nifty restart, which is expected to exceed 140,000 tonnes. The offtake pricing will be determined with reference to average market rates.
Technical, legal, commercial and financial due diligence has been done by Transamine SA and required pre-financing approvals have been received.
Cyprium Managing Director Barry Cahill said the agreement would form part of a fully-funded finance package.
“The restart project economics remain very robust, and we have continued to make further improvements to the Nifty copper project during the financing process,” Mr Cahill said.
“As all of the required regulatory approvals able to be completed prior to finance have been received, we are looking forward to completing our total funding package so that we can commence executing our Nifty copper project restate development plans.”
Cyprium reported that documentation with senior and prepayment financing counterparts was “well advanced”.
Shares in Cyprium Metals closed 22.67 per cent higher at 9.2 cents on Thursday afternoon.