Taseko gets $100M in additional funding for Florence Copper
Copper producer Taseko Mines has announced that the company received approvals for $100 million in additional funding for its Florence Copper project in Arizona, USA.
In a press release, the company said it has been notified that Taurus Mining Royalty Fund has obtained investment committee approval for a $50 million royalty, and Societe Generale has received credit approval for a $50 million senior secured debt facility.
According to Taseko, upon closing and satisfaction of conditions precedent, proceeds from these project level financings will be available to Florence Copper to fund the construction and development of the commercial production facility.
President and CEO Stuart McDonald commented, “The Taurus royalty and the project loan facility from Societe Generale complement the previously announced commitments from Mitsui and Bank of America. A total of $175 million from these four well-regarded industry participants is a strong endorsement of Florence Copper’s technical merits, attractive economics, and favorable environmental attributes.
“Florence Copper will supply 85 million pounds of copper, now defined a critical material by the Department of Energy, to the US domestic market. With the permitting process complete and these new financings expected to close in the coming months, we can now begin construction of the commercial facility at Florence.”
Headquartered in Vancouver, Taseko operates the Gibraltar copper mine, located in south-central British Columbia, which is the second largest open pit copper mine in Canada.
Florence Copper, an in-situ copper recovery project located in Arizona, USA, is the next copper mine development for Taseko.
The company said it anticipates that Florence Copper will be “one of the greenest” sources of copper for U.S. domestic consumption, “with carbon emissions, water and energy consumption all dramatically lower than a conventional copper mine.”
Florence Copper is projected to be a low-cost copper producer and expected to manufacture 85 million pounds per year of LME Grade A copper cathode at US$1.11 per pound C1 cash costs over a 22-year mine life.
