Atlantic Tin secures Achmmach DFS funding

Achmmach mine developer Atlantic Tin has raised US$5 million from Apex Royalties to continue its Definitive Feasibility Study at the Moroccan tin project. The fundraising comprises a US$1 million equity placement and a separate US$4 million royalty financing in return for 1.2% gross revenue royalty on future production from Achmmach.
The company expects Achmmach to produce an average of 5,000 t tin-in-concentrate per year over its 17-year mine life, generating a life of mine average EBITDA of US$66 million annually.
As a condition of fundraising from Apex, Atlantic Tin’s largest shareholder, Pala, has agreed to increase its stake in the company by 3 percentage points to 72.7% through conversion of A$11.4 million of its shareholder loan into equity. The remaining A$0.5 million of its outstanding debt will be converted “as soon as permitted under the Corporations Act”.
Atlantic Tin Non-Executive Chairman Stephen Gill highlighted the funds will be used both for the DFS and to fund new exploration on the neighbouring SAMINE licence. Gill continued, “Together with Pala’s shareholder loan conversion, the Company has simplified its capital structure ahead of the construction financing process to be undertaken in H1 2025 following the completion of the DFS”.
Apex Royalties CEO James Kelly commented “Apex is delighted to be partnering with Atlantic Tin, Nittetsu Mining Corporation and Toyota Tsusho Corporation in financing the Achmmach Tin Project, which we believe to be the standout development in tin; a commodity with exceptionally strong demand-supply dynamics.”
Kelly also noted that the SAMINE acquisition has “significantly enhanced and de-risked the project”.
In light of a challenging year for tin supply and recovering demand, ITA is pleased to see increasing focus on tin’s strong long-term fundamentals which represents an investment opportunity. We look forward to seeing further progress at Achmmach as Atlantic Tin advances the project towards production