Horizonte receives approval from ECAs for Araguaia

Horizonte Minerals Plc (Horizonte) announced that it has received formal credit and board approval from two export credit agencies (the ECAs) for USD 146.2M of the senior secured project finance facility (the Senior Debt Facility) to part fund construction and development of its Araguaia ferro-nickel project (Araguaia or the Project). The ECAs are EKF, Denmark’s Export Credit Agency (EKF) and Finnvera plc, Finland’s Export Credit Agency (Finnvera).

The Senior Debt Facility comprises two tranches, of which Tranche A of USD 146.2M is to be guaranteed by the ECAs in relation to a number of key equipment and service provider contracts. Tranche B of the Senior Debt Facility is expected to be provided by a syndicate of international financial institutions (the Senior Lenders).

The ECA approvals are a key step forward in the project financing process, and Horizonte is now nearing completion of the credit approvals by the Senior Lenders for the balance of the project financing of Araguaia.