KEY POINTS
- McEwen Copper has secured a $240 million, four-year loan to advance Los Azules in Argentina.
- The money will fund engineering and early works ahead of a planned 2027 final investment decision.
- McEwen Copper is targeting commercial copper cathode production at Los Azules by 2030, subject to financing and approvals.
McEwen Copper, a 46.3%-owned subsidiary of TSX- and NYSE-listed McEwen Mining, has secured $240 million in financing to support the continued development of its Los Azules copper project in Argentina.
The company closed a $240 million senior secured four-year term loan facility provided by a syndicate of lenders. The funding is expected to give McEwen Copper the financial capacity to continue advancing the project while it works towards securing the larger financing package required for full construction and development.
The proceeds from the loan will primarily be used to finance engineering activities and early development works at Los Azules.
The funding comes at a crucial stage for the project, as McEwen Copper prepares for a final investment decision (FID), which is expected in mid-2027.
The company is also working towards putting in place a comprehensive project financing package by the same period. The broader financing will be necessary to move Los Azules from its current development phase into full-scale construction.
Commercial Production Target Set for 2030
McEwen Copper is targeting the start of commercial copper cathode production at Los Azules in 2030.
However, the timeline remains subject to the company securing the required project financing, as well as obtaining customary regulatory and other approvals.
The project is expected to become an important part of McEwen Mining’s long-term copper strategy, with the company seeking to advance Los Azules into production as demand for copper continues to grow globally.
The financing facility includes participation from major investors in the mining sector.
Sprott Natural Resource Investment Partners provided $112 million of the financing, while McEwen Mining chairperson Rob McEwen also participated in the facility.
The loan provides McEwen Copper with funding during the period in which it continues negotiations and preparations for the larger debt financing required for Los Azules.
