NextSource Materials Inc. (TSX:NEXT, OTCQB:NSRCF) said on Wednesday it has extended its drawdown credit facility with Vision Blue Resources Limited by up to an additional US$10 million, providing the graphite producer with greater financial flexibility as it advances its battery anode facility in the UAE.
The new funding increases the total potential size of the facility to US$30 million.
The company said the additional financing will support its ongoing strategic partner discussions, progress the UAE battery anode facility toward a final investment decision, and fund continued operations and expansion at its Molo graphite mine in Madagascar.
“Securing this additional financing from Vision Blue Resources provides NextSource with significant financial flexibility,” said CEO Hanré Rossouw. “It allows NextSource to advance critical technical workstreams and negotiations with strategic investors engaged in discussions around financing the company’s battery anode facility in the United Arab Emirates.”
NextSource first secured the drawdown facility with Vision Blue in January 2025 for up to US$20 million and has since drawn the full amount in tranches, with the last draw completed in July. The new extension will be available in additional tranches, starting with US$5 million, the company said.
Interest on the drawn amounts accrues at 15% per year, and the loan remains repayable on demand. The facility continues to be secured by the company’s assets, and NextSource may repay it at any time without penalty or bonus.