Cornish Metals (LSE:TIN) has obtained up to approximately £52 million in short-term secured credit facilities from key shareholders National Wealth Fund Limited and Vision Blue Resources Limited to help advance development activities at its South Crofty tin project in Cornwall.
The financing package complements the company’s recently completed US$210 million Nordic bond placement. Part of the proceeds will be used to fund an escrow account required in connection with the bond issue, while the remaining capital will support underground mine development, refurbishment of the project’s shafts, upgrades to surface infrastructure, and broader corporate requirements.
Facility Structure and Shareholder Support
The six-month facilities carry an annual interest rate of 13% and are secured through fixed and floating charges across substantially all group assets. The arrangement includes both committed and uncommitted tranches and contains mandatory prepayment provisions tied to the completion of a qualifying equity fundraising.
As the agreements qualify as related party transactions under AIM regulations, independent directors reviewed the terms and concluded they were fair and reasonable for shareholders. The funding package also highlights continued backing from Cornish Metals’ strategic investors as the company works toward a final investment decision and pursues additional project financing from institutional investors and potential offtake partners.
More About Cornish Metals
Cornish Metals is a mineral exploration and development business focused on bringing the South Crofty underground tin mine in Cornwall, U.K., back into production. South Crofty is a fully permitted, historically important high-grade tin asset with existing shaft infrastructure and forecast low all-in sustaining costs. The project also has the potential to become the first primary tin producer in either Europe or North America, supplying a critical mineral widely used in electronics and electrical infrastructure.
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