FULL DISCLOSURE: Canadian Copper is a sponsor of theDeepDive.ca.
Canadian Copper (CSE: CCI) has secured a financial commitment for a backstop financing from Ocean Partners UK. The commitment is for a total figure of C$6.0 million, with that commitment to enable Canadian Copper to proceed with the purchase of the Caribou Process Plant Complex.
While the commitment has been secured, terms of the financing have yet to be agreed upon. Canadian Copper has indicated that the financing may take the form of either a market related equity subscription, debt, or a combination of the two options. The final decision on terms will be dependent upon the financing requirements at the time of accessing the commitment.
The commitment follows the recent release of a preliminary economic assessment that combines with Caribou Complex with Canadian Copper’s Murray Brook deposit, establishing a project with an after-tax net present value of $171 million and an internal rate of return of 36%. The study envisions a 13 year mine life that would see 30 million pounds of copper equivalent produced annually.
READ: Canadian Copper Outlines $171 Million NPV, 36% IRR In PEA For Murray Brook And Caribou Complex
Discussions are said to be ongoing with capital providers to finance the acquisition of the Complex following the release of the study. Closing of the purchase of the Complex meanwhile has been extended to October 1, 2025.
Canadian Copper last traded at $0.16 on the CSE.
FULL DISCLOSURE: Canadian Copper is a client of Canacom Group, the parent company of The Deep Dive. Canacom Group is currently long the equity of Canadian Copper. The author has been compensated to cover Canadian Copper on The Deep Dive, with The Deep Dive having full editorial control. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security.
