Aspiring miner Adriatic Metals has sealed a US$245 million finance package to fund the construction of its flagship Vares silver project in Bosnia and Herzegovina. The deal signals a major step in the advancement of the project which is still subject to delivery of a definitive feasibility study.
Adriatic confirmed it has signed a term sheet with Orion Resource Partners for a US$142.5 million debt financing package comprising a US$120 million senior secured debt and a US$22.5 million copper stream, which Orion proposes with Eastern Mining. The finance is subject to due diligence and documentation which is expected to be completed in the final quarter of 2021.
In addition, the London-based multi-listed Adriatic plans an equity raising of up to about US$102 million which will consist of US$52 million through an accelerated bookbuild process and a US$50 million conditional equity subscription by Orion.