- Ivanhoe Mines (IVN) South African subsidiary Ivanplats has concluded the financing of two new streaming facilities for the Platreef project
- Orion Mine Finance will provide a total of US$225 million in funding, and Nomad Royalty Company will provide US$75 million for a total of US$300 million
- The company has also signed offtake agreements with Northam Platinum Limited and Heron Metals
- The Platreef project is a palladium-rhodium-platinum-nickel-copper-gold project in Limpopo Province, South Africa
- Ivanhoe Mines is a mineral exploration and development company
- Shares in Ivanhoe Mines Ltd. (IVN) are up 0.30 per cent, trading at $10.07 per share
Ivanhoe Mines (IVN) South African subsidiary Ivanplats has concluded the financing of two new streaming facilities for the Platreef project.
Ivanplats signed stream-financing agreements with Orion Mine Finance and Nomad Royalty Company for a US$200 million gold-streaming facility and a US$100 million palladium- and platinum-streaming facility.
The proceeds will be used to advance the first phase of Platreef’s mine development, with commercial production expected to begin in 2024.
Ivanplats is working on a definitive feasibility study for Platreef’s phased development plan, which the company expects to complete in Q1 2022. The feasibility study will provide updated production forecasts for the initial mine and subsequent expansion.
The company has also signed offtake agreements with Northam Platinum Limited and Heron Metals Pty Limited for 100 per cent of Platreef’s Phase 1 platinum-group-metals (PGMs) concentrate production.
Marna Cloete, president of Ivanhoe Mines, commented on the financing.
“The stream financing agreements, which represent a small fraction of Platreef’s incredible resource base, and accompanying offtake arrangements are critical milestones in the progression to commercial production for Ivanplats,” she said.
Under the stream agreements, Orion Mine Finance will provide a total of US$225 million in funding, and Nomad Royalty Company will provide US$75 million. The stream facilities are a prepaid forward sale of refined metals.
“Advancing Platreef to production also marks another step in Ivanhoe Mines’ journey to become the world’s next major, diversified mining company,” added Ms. Cloete; “one with top ESG credentials and an industry-leading portfolio of tier-one assets.”
The Platreef project is a palladium-rhodium-platinum-nickel-copper-gold project in Limpopo Province, South Africa.
Since early surface construction began for Shaft 2 at Platreef in 2017, the company has excavated a surface box cut approximately 29 metres below surface and is working on constructing a 103-metre-tall concrete headframe for the shaft collar. The Shaft 2 headframe construction, from the hitch to the collar level, is progressing well with completion expected in May 2022.
Ivanhoe Mines is a mineral exploration and development company with property interests in Africa including Kamoa Kakula, Western Foreland, Platreef, and Kipushi.
Shares in Ivanhoe Mines Ltd. (IVN) are up 0.30 per cent, trading at $10.07 per share as of 2:50 pm EST.
