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- Pilbara Minerals (PLS) takes out a $250 million government loan to fund the expansion of its Pilgangoora project in Western Australia
- The company secured a 10-year debt facility through the Export Finance Australia (EFA) and Northern Australia Infrastructure Facility (NAIF) agencies
- Subject to completion of finance documents and satisfaction of certain conditions, the funds will support expansion, including construction of a crushing and ore sorting facility
- Following initial finance support, Managing Director Dale Henderson says the continued support from the Australian Government is a significant endorsement for the company
- PLS shares are up 2.63 per cent and trading at $5.46 at 1:42 pm AEDT
Pilbara Minerals (PLS) has taken out a $250 million government loan to fund the expansion of its Pilgangoora project in Western Australia.
The company secured the 10-year debt facility through the Export Finance Australia (EFA) and Northern Australia Infrastructure Facility (NAIF) agencies.
The facility is subject to the completion of approved finance documents as well as the satisfaction of conditions precedent to drawdown, while the NAIF Facility is also subject to final approval from the Western Australian Government.
If approved, the funds are set to support the P680 project expansion at the Pilgangoora operation to deliver an additional 100,000 tonnes of spodumene concentrate per year at an estimated capital cost of $103 million.
Additionally, the money is earmarked for a five million tonne per annum crushing and ore sorting facility.
This facility would replace an existing contracted crushing facility and would facilitate future expansions the company said could deliver up to one million tonnes of spodumene concentrate a year across the entire operation at a capital cost of $194 million.
Following initial financing support provided by the Clean Energy Finance Corporation, Pilbara Minerals’ Managing Director and CEO Dale Henderson said the continued support from the Australian Government is a significant endorsement for the company.
“We look forward to continuing to work with the Australian Government as we pursue our growth and diversification strategy to further realise our ambition to become a fully integrated, sustainable battery materials supplier,” Mr Henderson said.
Pilbara Minerals shares were up 2.63 per cent and trading at $5.46 at 1:42 pm AEDT.
