According to Sunrise Energy Metals CEO and Managing Director, Sam Riggall, “The non-binding letter of support from Export Finance Australia for up to A$400 million of debt funding clearly demonstrates the Commonwealth Government’s commitment to providing material financial assistance to project developers like Sunrise Energy Metals.” Image Credit; www.sunriseem.com

EXPORT FINANCE AUSTRALIA ISSUES LETTER OF SUPPORT FOR THE SUNRISE PROJECT

Sunrise Energy Metals Limited has secured conditional finance support from Export Finance Australia (EFA) for up to $400 million of debt funding for the Sunrise Battery Materials Complex in NSW (Sunrise Project), which is located near Fifield.
The company is progressing its world-class Sunrise Battery Materials Complex in NSW. The Sunrise Project is one of the largest and most cobalt-rich nickel laterite deposits in the world and is development-ready, with all key permits and approvals in place. Sunrise is also one of the largest and highest-grade scandium deposits globally.
EFA has advised that it will commence detailed due diligence on the Sunrise Battery Materials Complex.
EFA is Australia’s export credit agency and provides financial solutions to support Australian exporters through loans, guarantees, bonds and insurance.
EFA also manages the Australian Government’s $2 billion Critical Minerals Facility which was established in 2021 to support projects that are aligned with the Australian Government’s Critical Minerals Strategy and are otherwise in Australia’s national interest.
“The non-binding letter of support from Export Finance Australia for up to A$400 million of debt funding clearly demonstrates the Commonwealth Government’s commitment to providing material financial assistance to project developers like Sunrise Energy Metals to bring Australia’s critical minerals projects to fruition,” CEO and Managing Director, Sam Riggall, explained.
“We are targeting approximately 50 per cent of the Project’s capital requirements from commercial bank lenders, and this additional financial support from EFA is most welcome.
“We look forward to working with EFA as we continue to work towards securing a comprehensive financing package for the Sunrise Project from a range of local and offshore participants who have expressed interest in participating in the development of the project.
“We are grateful for the ongoing support of the Australian Government through its various agencies and look forward to updating the market on material developments as discussions progress.”
As outlined in EFA’s non-binding letter of support, a successful outcome from the EFA assessment and due diligence process is contingent on several conditions including:
• Satisfactory independent technical review of the Sunrise Project;
• an acceptable contracting strategy for the engineering, construction and commissioning of the Sunrise Project;
• Finalising a comprehensive funding plan for the Sunrise Project including equity investment and securing debt funding from other lenders;
• Meeting eligibility criteria, credit and risk requirements including but not limited to EFA’s “know your customer” and anti-bribery requirements and checks; and
• The Sunrise Project complying with EFA’s environmental and social risk policies, including receiving the required regulatory and environmental approvals.
“Designed to be one of the world’s largest integrated producers of battery-grade nickel and cobalt sulphate, the Sunrise refinery will support production of up to 25ktpa of nickel and 7ktpa of cobalt, suitable for precursor feedstocks,” an Australian Stock Exchange Announcement on 17 January 2022 said.
“The Project also hosts the world’s largest and highest grade scandium resource. Located adjacent to the Central-West Renewable Energy Zone in NSW, the Sunrise Project will source 100 per cent renewable power for its operations and is forecast to be a first quartile nickel cash cost producer.
“The Project is well positioned to benefit from substantial growth in battery and electric vehicle demand in coming decades as well as delivering a low-cost, low-risk supply chain solution for customers built on Australian resources and Australian technology,” the announcement concluded.

Last Updated: 16/03/2022By

Latest News

Locals do very well

13/06/2024|

Condobolin’s Danielle Thompson (ABOVE LEFT) and Andrew Brasnett (ABOVE RIGHT) [...]

Showing golfing skills

13/06/2024|

Condobolin golfers Ian Grimshaw, Craig Venables, Callan Venables and Mathew [...]