NY fund Sapphire Global Energy will invest ~$25m in EVR to acquire projects and drill its extensive existing copper, lithium, and tin-tungsten portfolio.
The explorer formerly known as Jadar Resources has a bunch of active projects spread across the globe. They include Don Enrique in Peru (copper), Shaw River in WA (lithium), Khartoum in Queensland (tin, silver, tungsten), Eastern Alps in Austria (lithium), and Christina in Morocco (tin, tungsten).
Exploring multiple projects in multiple jurisdictions effectively can cost a lot of money – which is where Sapphire Global Energy comes in.
“The investment commitment is another major milestone that will enable us to grow significantly over the next 12 months,” EVR exec director Navin Sidhu says.
“Sapphire is very supportive of the company and realises the potential we have, thus they have provided us with an extremely competitive and sizeable facility.
“This facility enables us to drawdown when necessary, allowing us to better manage our funding needs, reduce dilution and not be at the mercy of the markets.”
EVR has the option to draw down the $25m facility for 60 months starting March 1.
There are a bunch of conditions, but when EVR withdraws some of the cash, Sapphire Global Energy gets shares in the company at around the current price.
EVR Price at posting:
2.1¢ Sentiment: Buy Disclosure: Held
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