Cordoba Minerals arranges US$10 million bridge financing

Cordoba Minerals Corp. [TSXV: CDB; OTCQB: CDBMF] has arranged US$10 million in bridge financing with certain affiliates of its joint venture partner, JCHX Mining Management Co. Ltd., in the form of two loans of US$5 million each. JCHX will advance US$5 million to Cordoba and US$5 million directly to the joint venture entity which holds the Alacran copper-gold silver project in Colombia.

Both bridge loans bear simple interest at 10% per annum for the first six months of the loan agreements, and the interest rate will increase to 12% per annum for the remaining months of the loan agreements. Both bridge loans are payable on the maturity date, which is the earlier of: 36 months after the date of the loan agreements; and the date the third instalment of UIS$20 million becomes payable by JCHX under the US$100 million strategic arrangement pursuant to the framework agreement entered into on December 8, 2022. If the maturity date occurs as the date of the third instalment, the outstanding amount under the bridge loans may be deducted from the third instalment.

The purpose of the bridge loans is to ensure the company can continue the advancement of its mineral projects, including the detailed engineering design work program at the Alacran copper-gold-silver project in Colombia, and for general corporate purposes.

The bridge loan that is being received by the company, which it will then on-lend to the joint venture entity, is subject to the approval of the TSXV.

“With the support from our joint venture partner, JCHX, the Alacran project continues to moving forward with our targeted timeline,” commented Sarah Armstrong-Montoya, president and CEO of Cordoba. “With a shared vision with our partner, the Alacran project is steadily advancing to be the next copper mine in Colombia in the near future.”

Cordoba is jointly developing the Alacran project with JCHX Mining Management, located in the department of Cordoba, Colombia. Cordoba also holds a 51% interest in the Perseverance copper project in Arizona, United States, which is exploring through a joint venture and earn-in agreement.