LONDON, UK / ACCESSWIRE / November 14, 2023 / Horizonte Minerals Plc (AIM:HZM)(TSX:HZM) ("Horizonte" or the "Company") the nickel development company, announces that it is continuing to work closely with its senior lenders and its cornerstone shareholders on a financing solution for its Araguaia Nickel Project ("Araguaia" or "the Project"), as announced on 2 October 2023, in parallel to progressing the capital cost and schedule analysis.
To manage resources and funds whilst undertaking discussions with the Company's cornerstone shareholders and lenders, the Company intends to reduce construction activities at Araguaia, advancing only critical work streams while maintaining a strong focus on safety.
As of 10 November 2023, the Araguaia Project had total liquidity sources of US$169 million comprised of US$131 million undrawn on the Senior Debt Facility (subject to satisfying drawdown conditions) and a cash position of US$38 million which should provide sufficient working capital to around mid-December 2023 unless there are positive outcomes from conversations with suppliers, other cash preserving measures, or other financing solutions, which if successful should provide sufficient working capital until late Q1 24.
The Company has hosted a series of site visits during the last 7 days with key shareholders and lenders representatives. These groups are undertaking their respective due diligence as part of a funding plan and expect to finalise their respective internal diligence processes in early Q1 2024 with funding completion targeted for late Q1 2024. It remains the Company's objective to put in place a financing solution which will satisfy the cost to complete requirements and thereby allow the Company to continue to access its Senior Debt Facility.
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