Cordoba Minerals Corp (TSX-V:CDB, OTCQB:CDBMF) announced the arrangement of a $10 million bridge financing with its joint venture partner, JCHX Mining Management Co Ltd.
The financing comprises two loans of $5 million each to support the advancement of Cordoba’s flagship Alacran copper-gold-silver project in Colombia.
Under the terms of the agreement, JCHX will directly provide $5 million to Cordoba and another $5 million to the joint venture entity managing Alacran.
Both loans carry an interest rate of 10% per annum for the first six months, escalating to 12% per annum thereafter.
The loans will mature 36 months from the date of issuance or upon the payment of the third installment of $20 million under a $100 million strategic arrangement formalized in December 2022, whichever comes first. If the loans mature at the time of the third installment, the outstanding balance may be deducted from the installment.
Funds will be used to continue the detailed engineering design work for the Alacran project as well as general corporate purposes, according to a statement from the company.
“With the support from our joint venture partner, JCHX, the Alacran project continues to move forward on our targeted timeline,” said Sarah Armstrong-Montoya, CEO of Cordoba Minerals.
“With a shared vision with our partner, the Alacran project is steadily advancing to be the next copper mine in Colombia in the near future.”
Cordoba is focusing on advancing Alacran to become Colombia’s next major copper mine.