Horizonte Minerals completes $25m royalty funding transaction

Brazil-focussed nickel company Horizonte Minerals, which is developing the Araguaia project as the country’s next ferro-nickel mine and advancing the Vermelho nickel cobalt project for the electric vehicle battery market, announced the completion of the $25m (£19.26m) royalty transaction with Orion Mine Finance on Monday, and the subsequent drawdown of the funds.

The AIM-traded firm initially announced the transaction on 29 August.

It said Orion had provided the upfront cash payment of $25m in exchange for a 2.25% royalty on Araguaia.

“This capital will provide funding to advance pre-construction work streams for Araguaia,” the board said in its statement.

As at 1208 BST, shares in Horizonte Minerals were down 6.46% at 3.84p.