(Alliance News) - Taseko Mines Ltd on Friday said it has increased its revolving credit facility to USD80 million, from USD50 million.
The Vancouver-based mining company mainly focused in North America said it will use the facility, which is underwritten and approved by ING Capital LLC, in order to support its Florence Copper project.
The facility matures in July 2025, Taseko said.
The firm also said it has closed an additional silver stream sale to Osisko Gold Royalties Ltd for USD10.3 million for its 12.5% share in Gibraltar Mines Ltd, which was purchased from Sojitz Corp in March.
Chief Executive Stuard MacDonald said: "The permitting process at Florence Copper is nearing an end and as we prepare for construction our focus is to ensure we have a strong balance sheet and a solid financing plan in place. We continue to evaluate construction financing proposals which will complement our current liquidity and the two transactions previously announced with Mitsui (USD50 million) and Bank of America (USD25 million).
"We have recently engaged Endeavour Financial to assist in executing on these financing initiatives and are confident that we can close the transactions needed to provide the capital for construction of the Florence Copper commercial production facility."
Taseko shares fell 8.8% to 101.00 pence each on Friday morning in London.
By Harvey Dorset, Alliance News reporter
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Taseko Mines L. (TKO)