PERTH (miningweekly.com) – The European Investment Bank (EIB) has approved a €150-million senior debt facility that will underpin battery materials company Talga Group’s Vittangi anode project, in Sweden.
Talga on Tuesday said that the EIB approvals followed extensive project due diligence, including market, technical, environmental and social due diligence.
“We are very pleased to have the support of the EIB as we move to execution phase of the Vittangi anode project. The EIB approval represents a key milestone for Talga, cornerstoning our debt financing package and affirming the underlying strength of our business and capabilities to produce world-class critical battery materials in Europe,” said Talga MD Mark Thompson.
Vittangi will use 100% renewable electricity to produce an initial 19 500 t/y of green anode for lithium-ion batteries from an integrated mine and anode refinery operation in northern Sweden, over an initial mine life of 24 years.
Talga is targeting project debt gearing of up to 60% and the EIB’s financing, subject to final negotiations, will form part of the debt financing package being finalised with multiple leading export credit agencies, commercial banks and international financial institutions.
Following this approval, loan documentation is being agreed between the EIB and Talga, including customary terms and conditions for a financing facility of this nature.