In a recent interview with Proactive London, Mike Ralston (MR), CEO of Blencowe Resources PLC (LSE:BRES), discussed with Stephen Gunion (SG) its relationship with US agency the International Development Finance Corporation (DFC).
That follows a letter of intent (LOI) for debt funding of the Orom-Cross graphite project in Uganda from the DFC to add to its US$5 million Technical Assistance Grant.
Blencowe now aims to tie up project financing in collaboration with DFC, underlining the project's potential to contribute to sustainable mining and the Ugandan economy.
A globally significant graphite project, Blencowe also wants to complete work on the Definitive Feasibility Study (DFS).
SG: What recent development has Blencowe Resources announced regarding the Orom-Cross graphite project?
MR: We've received a Letter of Interest from the US International Development Finance Corporation for debt funding. This marks a significant step in advancing our project financing and underscores the project's potential impact.
SG: Can you elaborate on the significance of the Technical Assistance Grant from DFC?
MR: Absolutely. The $5 million grant, of which we've already received $2 million, not only aids in project development but also signifies DFC's commitment to our project. It's pivotal for us, to facilitate the path towards securing the necessary financing for Orom-Cross.
SG: How does this financing support align with Blencowe Resources' goals for the Orom-Cross project?
MR: Our goal is to position Orom-Cross as a leader in sustainable mining, particularly with a 'green' graphite product. This support from DFC is instrumental in achieving that, especially as we aim to use hydroelectric power for mining and processing, aligning with our sustainability objectives.
SG: What are the potential economic impacts of the Orom-Cross project on the Ugandan economy?
MR: Orom-Cross has the potential to significantly boost the Ugandan economy by creating jobs, driving investment, and fostering future development. It's a game-changer for the local community and the country at large.
SG: What are the next steps for Blencowe Resources on the DFC financing?
MR We're planning to work closely with DFC to finalise the Definitive Feasibility Study and further due diligence this year. Our focus is on moving towards a decision to mine, leveraging this partnership to de-risk the project and highlight its value.