Marimaca Copper Corp. has selected a preferred lender for a $375 million to $400 million debt facility to fund the construction of its mine in Chile. The company, which trades on the Toronto and Sydney exchanges, aims to finalize the financing by the end of this year. Chief Executive Officer Hayden Locke highlighted that the terms offered by the lender are competitive, despite broader economic uncertainties.
The copper market's rally is helping developers secure financing amid challenging capital market conditions. Locke noted that while inflation, higher interest rates, and geopolitical tensions typically hinder funding, strong demand for copper driven by electrification and constrained supply are creating favorable conditions for project financing.
Marimaca expects to require approximately $750 million in total to develop the open-pit mine in Chile’s Antofagasta region, which is designed to produce about 50,000 metric tons of refined copper annually. The company has already begun infrastructure work and plans to start full construction in the second half of next year, with first production targeted for 2029.
Locke emphasized that Marimaca intends to build the mine itself as it transitions from an explorer to a producer, while also advancing its nearby Pampa Medina discovery. However, he left the door open for potential acquisition offers, stating that the company would consider any 'amazing offer' but currently prefers to keep the projects together and move forward with production.