Global commodity trader Glencore has entered into a $50 million offtake arrangement for 100 per cent of the copper cathode produced during Phase 1 of the Nifty Copper Project in the Pilbara region of Western Australia.
The funds will be used as part of the debt financing for the restart of the Cyprium Metals-owned project, which includes capital expenditure, contingencies, working capital, and financing costs.
Cyprium Metals managing director Barry Cahill said the restart project economics were “very robust”, and the company had continued to make further improvements to the project during the financing process.
“We are looking forward to completing our total funding package so that we can commence executing our Nifty Project restart development plans,” he said.
Under the terms of the exclusive Letter of Intent, Cyprium and Glencore will work towards finalising outstanding due diligence activities, and documentation for the project funding for execution, which is being done in conjunction with ongoing advanced discussions with the potential secured senior debt providers.