Solaris taps $80 million Orion financing to advance Warintza copper project in Ecuador
Solaris Resources (TSX: SLS) has secured $80 million in funding from Orion Mine Finance Management for the Warintza copper-gold project in Ecuador.
The deal is made up of $60 million in senior secured debt, an offtake with a buyback provision, a subscription for $10 million in equity and a commitment for $10 million in additional equity financing, Solaris said in a release on Monday.
SIGN UP FOR THE COPPER DIGEST
“This financing package funds the advancement of Warintza through studies and permitting, leading to a substantially de-risked project,” Solaris executive chairman Richard Warke said in the release. “It unlocks one of the last remaining major greenfield copper districts at low elevation and adjacent to infrastructure in the entire mining industry.”
Solaris, with investors including entrepreneur Ross Beaty and the Lundin family, is part of the Vancouver-based Augusta Group that has earned C$4.5 billion from investments in Equinox Gold (TSX: EQX), Arizona Mining (TSX: AZ), Augusta Resource, and Ventana Gold. The company is pursuing the exploration trail left by the late David Lowell, credited with about a dozen major discoveries including the giant Escondida in northern Chile now mined by BHP (NYSE: BHP; LSE: BHP; ASX: BHP).
Study funding
The loan has a four-year term, offers an initial $30 million within weeks then more in staggered amounts when an environmental impact assessment and a prefeasibility study have been completed.
New York-based Orion, which has raised some $8 billion for mining projects over the past decade, has an offtake agreement for 20% of production for 20 years after it starts at the 268 sq. km property in the country’s southeast.
The initial $10 million in equity financing is at a Solaris share price of C$5.11. Shares in Solaris opened on Tuesday at C$4.60 apiece, valuing the company at C$681 million. They’ve traded in a 52-week window of C$7.53 to C$4.57.
Solaris also has the early-stage Ricardo and Tamarugo projects in Chile, the Capricho and Paco Orco projects in Peru, and a 60% interest in the La Verde joint-venture project in Mexico with Teck Resources (TSX: TECK.A, TECK.B; NYSE: TECK).
Warintza’s central deposit has 579 million indicated tonnes grading 0.47% copper, 0.03% molybdenum and 0.05 gram gold per tonne (0.59% copper equivalent), according to an April 2022 resource update. It has 887 million inferred tonnes grading 0.39% copper, 0.01% molybdenum and 0.04 gram gold (0.47% copper equivalent).
- Forums
- ASX - By Stock
- Ann: Large gold target at El Palmar, work starts at Verde Chico
Solaris taps $80 million Orion financing to advance Warintza...
- There are more pages in this discussion • 6 more messages in this thread...
You’re viewing a single post only. To view the entire thread just sign in or Join Now (FREE)
Featured News
Add STM (ASX) to my watchlist
(20min delay)
|
|||||
Last
1.0¢ |
Change
-0.001(9.09%) |
Mkt cap ! $38.50M |
Open | High | Low | Value | Volume |
1.0¢ | 1.0¢ | 1.0¢ | $25.34K | 2.534M |
Buyers (Bids)
No. | Vol. | Price($) |
---|---|---|
4 | 2376960 | 1.0¢ |
Sellers (Offers)
Price($) | Vol. | No. |
---|---|---|
1.1¢ | 1614967 | 5 |
View Market Depth
No. | Vol. | Price($) |
---|---|---|
4 | 2376960 | 0.010 |
8 | 1561718 | 0.009 |
10 | 2612499 | 0.008 |
7 | 910973 | 0.007 |
1 | 320000 | 0.006 |
Price($) | Vol. | No. |
---|---|---|
0.011 | 1614967 | 5 |
0.012 | 2011512 | 4 |
0.013 | 1245802 | 5 |
0.014 | 1926581 | 2 |
0.000 | 0 | 0 |
Last trade - 10.13am 08/05/2024 (20 minute delay) ? |
|
|||||
Last
1.0¢ |
  |
Change
-0.001 ( 9.09 %) |
|||
Open | High | Low | Volume | ||
1.0¢ | 1.0¢ | 1.0¢ | 1274692 | ||
Last updated 10.30am 08/05/2024 ? |
Featured News
STM (ASX) Chart |
The Watchlist
HAR
HARANGA RESOURCES LIMITED.
Peter Batten, MD
Peter Batten
MD
Previous Video
Next Video
SPONSORED BY The Market Online