Troilus Gold receives project financing letter of intent

Fri Nov 15 2024

Troilus Gold Corp (TSX:TLG) has received a letter of intent from Euler Hermes Aktiengesellschaft regarding project financing for the development of the copper and gold Troilus Project, located in north-central Québec, Canada. Euler Hermes is representing the German Federal Ministry for Economic Affairs and Climate Action as an export credit agency. 

The LoI confirms in-principle eligibility of an untied loan guarantee of up to US$500 million. This potential funding support is based on the signing of a commercial offtake agreement of up to 15 years with Aurubis, Germany’s largest copper smelter. 

Troilus says the LoI from Euler Hermes is a major milestone in establishing a comprehensive financing solution for the project.  This will complement multiple advanced discussions with other smelting partners, export credit agencies, commercial banks and sophisticated global mining finance institutions with further announcements expected in the coming weeks.

CEO Justin Reid adds the LoI is a strong endorsement of the Troilus Project’s significant economic potential and strategic value. Following the Feasibility Study published in May 2024, which outlined a 22-year, 50,000 tonne-per-day open-pit operation, Troilus has made significant strides in advancing its project financing efforts. 

The Feasibility Study projects an average life-of-mine production of 303,000 gold equivalent ounces annually, or 135.4Mlbs copper equivalent  annually, peaking at 536,400oz AuEq, or 237.6Mlbs CuEq, positioning Troilus as one of the largest undeveloped copper and gold projects in North America.

Troilus is a Canadian development-stage mining company focused on the systematic advancement of the former gold and copper Troilus Mine towards production.

Source: https://mining.com.au/