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Mining

Trident Royalties inks new loan agreement to boost balance sheet

The firm said the US$10mln facility will provide additional capital to promote “continued growth and diversification” of its royalty portfolio

Trident Royalties PLC (LON:TRR) said it entered a US$10mln secured loan facility agreement with a syndicate managed by Tribeca Investment Partners, including the CNL Sprott Strategic Asset Fund and Paul Smith, the company's chairman.

The AIM-listed firm said the new facility will support its balance sheet by providing additional capital to promote “continued growth and diversification” of its royalty portfolio following the completion of the Thacker Pass lithium royalty transaction in March.

READ: Trident Royalties appoints former Glencore exec as new chair

Trident added that the facility is in line with its strategy to utilise a conservative level of gearing now that it has reached an appropriate size and scale.

"The finalisation of this US$10mln loan facility comes at an important time for Trident, supporting our already healthy balance sheet in a period where we have grown through the acquisition of royalties, as well as having seen positive asset-level progress, and are currently reviewing a number of royalty and streaming opportunities under 12 active NDAs”, Trident chief executive Adam Davidson said in a statement.

"Following on from our most recent, and significant, acquisition of 60% of the Thacker Pass lithium royalty in Nevada, and against a widely reported global macro backdrop supportive of critical minerals, we are confident of using the increased resources now available to us for further growth and diversification across the portfolio", he added.

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