29Metals has finalized the documentation for a US$50 million copper and zinc concentrates offtake finance facility with Glencore International. The terms are consistent with the binding terms sheet previously announced on April 22, 2024.
The facility, sized at US$50 million, has a maturity date of October 1, 2028, with availability for drawdown until April 2028. The interest is set at SOFR plus a margin, payable in cash upon meeting specific debt service coverage ratio and minimum liquidity tests. Repayment will be in equal monthly installments starting in April 2028.
This secured facility is fully subordinated to 29Metals' senior lenders and includes a long-term offtake for copper and zinc concentrates based on market terms. Notably, the interest rate will increase by 2.0% when not paid in cash. Drawdown is contingent upon meeting customary conditions precedent.
