Clean TeQ appoints MLAs to arrange debt financing

November 2, 2017

Clean TeQ appoints three leading financial institutions to arrange debt financing for the development of the Clean TeQ Sunrise Project

Mr Robert Friedland and Mr Jiang Zhaobai, Co-Chairmen of Clean TeQ Holdings Limited (Clean TeQ or Company) (CLQ:ASX; CTEQF:OTCQX), and Mr Sam Riggall, Chief Executive Officer, today announced that the Company has appointed three leading mining project finance institutions —Societe Generale, National Australia Bank and Natixis — as initial Mandated Lead Arrangers (MLAs) to arrange a debt financing facility for the development of the Company’s Clean TeQ Sunrise Nickel, Cobalt and Scandium Project (Project) in New South Wales, Australia.

The three initial MLAs have been engaged to arrange and syndicate a finance facility targeting debt funding of 50-60% of the total development cost of the Project, including working capital and other credit facilities. The banks will make best efforts to provide a total of US$375 million of the total credit facilities required for the development of the project, with the balance to be raised through additional MLA bank(s) or via a syndication process anticipated to take place following completion of the Definitive Feasibility Study.The financing will be contingent upon completion of a successful due diligence process, agreement of terms and conditions, credit approval and syndication.

Mr Robert Friedland commented, “This is a significant step in the development of the Clean TeQ Sunrise Project, which has the potential to become one of the world’s largest producers of nickel sulphate and cobalt sulphate – critical cathode materials for the lithium-ion batteries used in electric vehicles.

“These leading financiers bring extensive experience in structured mining finance in Australia and internationally. Their support gives us strong confidence in our ability to advance the development of the Project and confirms Sunrise’s status as one of the world’s most attractive greenfield nickel and cobalt projects.”

The next step in arranging the project debt financing is the completion of the Definitive Feasibility Study for Sunrise, which is expected to be completed Q1 2018.

HCF International Advisers Limited and Grant Thornton Australia are advising Clean TeQ on the debt financing of the Project.

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Clean TeQ appoints MLAs to arrange debt financing

Clean TeQ appoints three leading financial institutions to arrange debt financing for the development of the Clean TeQ Sunrise Project

Mr Robert Friedland and Mr Jiang Zhaobai, Co-Chairmen of Clean TeQ Holdings Limited (Clean TeQ or Company) (CLQ:ASX; CTEQF:OTCQX), and Mr Sam Riggall, Chief Executive Officer, today announced that the Company has appointed three leading mining project finance institutions —Societe Generale, National Australia Bank and Natixis — as initial Mandated Lead Arrangers (MLAs) to arrange a debt financing facility for the development of the Company’s Clean TeQ Sunrise Nickel, Cobalt and Scandium Project (Project) in New South Wales, Australia.

The three initial MLAs have been engaged to arrange and syndicate a finance facility targeting debt funding of 50-60% of the total development cost of the Project, including working capital and other credit facilities. The banks will make best efforts to provide a total of US$375 million of the total credit facilities required for the development of the project, with the balance to be raised through additional MLA bank(s) or via a syndication process anticipated to take place following completion of the Definitive Feasibility Study.The financing will be contingent upon completion of a successful due diligence process, agreement of terms and conditions, credit approval and syndication.

Mr Robert Friedland commented, “This is a significant step in the development of the Clean TeQ Sunrise Project, which has the potential to become one of the world’s largest producers of nickel sulphate and cobalt sulphate – critical cathode materials for the lithium-ion batteries used in electric vehicles.

“These leading financiers bring extensive experience in structured mining finance in Australia and internationally. Their support gives us strong confidence in our ability to advance the development of the Project and confirms Sunrise’s status as one of the world’s most attractive greenfield nickel and cobalt projects.”

The next step in arranging the project debt financing is the completion of the Definitive Feasibility Study for Sunrise, which is expected to be completed Q1 2018.

HCF International Advisers Limited and Grant Thornton Australia are advising Clean TeQ on the debt financing of the Project.

Download PDF