Nevada Copper Corp. said it has entered into arrangements for a $378 million construction financing and recapitalization package, which will provide a clear pathway toward first production in 2019 from its 100% owned Pumpkin Hollow Copper Property.
Pumpkin Hollow will be the first fully permitted copper project of scale to begin production in the United States in years. It will consist of two proposed copper mines: a near-production, high-grade underground mine with an existing production-size shaft and infrastructure; and a large-scale open-pit project with resource upside that involves pursuing a staged-development plan.
The financing package is designed to provide a comprehensive funding solution for the restart of construction of the underground project and to position Nevada Copper for anticipated first production in 2019; and open-pit project extension drilling and optimization works to commence in the first quarter of 2018.
“This financing is a pivotal moment for Nevada Copper,” said Evgenij Iorich, chairman of Nevada Copper. “We now look forward to swift progress with project development, including the near-term appointment of EPC and mining contractors, securing of long-lead items for the underground project, resource extension drilling for the open-pit project, and realizing the full value of this strategic asset.”
Financing will be provided by Triple Flag Mining Finance Bermuda Ltd., Pala Investments Ltd., Red Kite Mine Finance, Concord Resources Ltd., as well as several institutional equity investors including JP Morgan Asset Management U.K.
