True North Copper secures A$15m for restart of Great Australia Mine

True North Copper Limited has confirmed the receipt of firm commitments for an A$15 million two-tranche placement for the restart of the Great Australia Mine apart from marking a significant milestone in the company’s financial strategy. This placement, which includes approximately A$10.7 million in cash and A$4.3 million in converted debt, received strong support from global investor groups, both domestic and offshore, signaling confidence in True North Copper’s growth strategy.

Allocation of Placement Funds for Mining and Exploration

In addition to the restart of the Great Australia Mine in Queensland, the proceeds from this placement will be strategically utilized for various key projects, and exploration activities at Cloncurry. Besides, funds will be directed towards drilling and survey works at the Vero Resource and partial repayment of short-term working capital facility to Dyda Property Management. True North Copper also aims to convert short-term loans from Tembo Capital Holdings UK Ltd to equity and cover general working capital and costs of the placement.

Strong Backing from Major Shareholders and Company Leadership

True North Copper’s major shareholder, Tembo Capital Holdings UK Ltd, has shown robust support with a firm commitment of $6.5 million in the placement. Managing Director Marty Costello and Chairman Ian McAleese will also participate, subject to shareholder approval. This collective backing underscores the confidence in True North Copper’s strategic direction and future prospects.

Financing Facility to Refinance Environmental Bonds

True North Copper has signed a term sheet for a financing facility aimed at refinancing the current cash-backed environmental bonds and providing additional working capital for the commencement of mining at Great Australia. The finance party is in the final stages of due diligence, with further updates expected following the completion of this process.