Horizonte Minerals Plc, (AIM:HZM)(TSX:HZM), the Brazil-focused nickel development company, is pleased to announce the completion of the US$65 million convertible bond offering and sale of the Vermelho Royalty, previously announced on November 23, 2021. As a result, the Company has now received all subscription amounts relating to the Convertible Notes as well as the initial purchase price of US$25 million relating to the Vermelho Royalty. The receipt of the convertible note financing means that the Company has now, subject to the timely retirement of the senior debt, completed or received the relevant financing for all aspects of the previously announced financing of $633 million.
Horizonte CEO Jeremy Martin commented: “The receipt of these funds represents a significant moment for Horizonte and the completion of our funding envelope of US$633 million. We can now move forward with confidence as we continue to accelerate construction activities at our Araguaia Tier 1 ferronickel project.
The financing raised to advance our Vermelho project demonstrates the compelling value of Horizonte’s portfolio of assets and the opportunity to advance another Tier 1 nickel project at a time when security of supply and availability of sources High-quality, low-carbon nickel products for the booming electric vehicle battery market are coming under increased scrutiny. Horizonte is bringing together a dedicated team to move Vermelho forward, and this funding will allow us to advance a feasibility study and authorize workflows on the project, as well as pursue other strategic initiatives to best position the project by in relation to the evolution of the dynamics of nickel demand. “
Unless otherwise specified herein, capitalized terms used in this announcement shall have the same meaning as defined in the equity fundraising announcement made by the Company on November 23, 2021.
This announcement contains inside information for the purposes of Article 7 of EU Regulation 596/2014, as stored in the United Kingdom pursuant to Act S3 of the European Union (Withdrawal) Act 2018.
For more information, visit www.horizonteminerals.com or contact:
Horizonte Minerals plc
Peel Hunt LLP (Designated Advisor and Co-Broker)
|+44 (0)20 7418 8900|
BMO (Joint Broker)
|+44 (0) 20 7236 1010|
About Horizonte Minerals:
Horizonte Minerals plc (AIM & TSX:HZM) is developing two wholly owned Tier 1 projects in Parà State, Brazil – the Araguaia Nickel Project and the Vermelho Nickel-Cobalt Project. Both projects are large-scale, high-quality, low-cost, low-carbon, and scalable. Araguaia is fully funded and under construction. The project will produce 29,000 tonnes of nickel per year to supply the stainless steel market. Vermelho is at the feasibility study stage and will produce 25,000 tonnes of nickel and 1,250 tonnes of cobalt to supply the EV battery market. Horizonte’s combined near-term production profile of over 50,000 tonnes of nickel per year positions the Company as a major nickel producer globally. Horizonte is developing a new nickel district in Brazil that will benefit from established infrastructure, including hydroelectric power available in the mining district of Carajás.
CAUTION REGARDING FORWARD-LOOKING INFORMATION
Except for statements of historical facts about the Company, certain information contained in this press release constitutes “forward-looking information” under Canadian securities laws. Forward-looking information includes, but is not limited to, the Company’s ability to complete the acquisition of equipment as described herein; statements regarding the potential of the Company’s current or future mining projects; the Company’s ability to complete a positive feasibility study for the second RKEF line at Araguaia on time, or at all; successful exploration and exploitation activities; the cost and timing of future exploration, production and development; the costs and delivery schedule of equipment to be purchased as described herein, the estimate of mineral resources and reserves and the Company’s ability to achieve its mineral resource growth objectives; achieving mineral resource and reserve estimates and achieving production in line with the Company’s potential production profile or not at all. Generally, forward-looking information can be identified by the use of forward-looking terminology such as “plans”, “expects” or “does not expect”, “is planned”, “budget”, “expects”, “estimates”, “plans”, “intends”, “anticipates” or “does not anticipate”, or “believes”, or variations of these words and expressions or statements that certain actions, events or results “could”, “could”, “would”, “could” or “will be taken”, “will occur” or “will be carried out”. Forward-looking information is based on management’s reasonable assumptions, estimates, analyzes and opinions made in light of its experience and perception of trends, current conditions and anticipated developments, as well as other factors that management believes to be relevant and reasonable for the circumstances on the date such statements are made, and are inherently subject to known and unknown risks, uncertainties and other factors that may cause actual results, level of activity , the Company’s performance or achievements may differ materially from those expressed or implied by such forward-looking information, including, but not limited to, risks relating to: the Company’s inability to complete the acquisition of the equipment contemplated herein, on time or not at all, the Company’s ability to complete a positive feasibility study regarding the implementation of a second RKEF line in Araguaia on schedule or not at all, exploration and mining risks, competition from competitors with greater capital; the Company’s lack of experience with development-stage mining operations; metal price fluctuations; uninsured risks; environmental and other regulatory requirements; exploration, mining and other permits; the Company’s future payment obligations; potential disputes regarding the Company’s title to and the size of its mining concessions; the Company’s dependence on its ability to obtain sufficient funding in the future; the Company’s dependence on its relationships with third parties; the Company’s joint ventures; the potential for currency fluctuations and political or economic instability in the countries in which the Company operates; exchange rate fluctuations; the Company’s ability to effectively manage its growth; the trading market for the ordinary shares of the Company; uncertainty about the Company’s plans to continue to develop its business and new projects; the Company’s dependence on key personnel; the possible conflicts of interest of the directors and officers of the Company, and various risks associated with the legal and regulatory framework in which the Company operates, as well as the risks identified and disclosed in the Company’s disclosure file available on the profile of the Company on SEDAR at www. sedar.com, including, without limitation, the Company’s annual information for the fiscal year ended December 31, 2020, the Araguaia report and the Vermehlo report. Although the Company’s management has attempted to identify important factors that could cause actual results to differ materially from those contained in the forward-looking information, there may be other factors that cause results not to be those anticipated, estimated or forecast. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements.
This information is provided by RNS, the information service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a primary information provider in the UK. Terms and conditions relating to the use and distribution of this information may apply. For more information, please contact [email protected] or visit www.rns.com.
THE SOURCE: Horizonte Minerals PLC
See the source version on accesswire.com: