Canada Nickel says Export Development Canada plans to give $500 million loan for mine
(Reuters) - Canada Nickel said on Friday that Export Development Canada has expressed interest in providing a long-term loan of up to $500 million for the miner's Crawford project in Ontario.
The letter of interest proposes a tenor of up to 18 years, subject to certain conditions.
Canada has identified 31 minerals, including copper, lithium and nickel, as critical for its strategic uses in modern technology and the energy transition, such as in electric vehicle batteries.
It has also tightened scrutiny on the ownership of the Canadian projects that produce the critical metals and has asked several Chinese investors to divest their holdings on national security reasons.
The company, in which Agnico Eagle Mines owns nearly 11%, said it was working with its advisers to secure the remaining funding need to start construction of the mine after receiving the necessary permits, expected to be by mid 2025.
Canada Nickel has also said it was looking to raise $1 billion to build a nickel-processing plant in Ontario and expects to process 80,000 tonnes of nickel annually.
(Reporting by Sourasis Bose in Bengaluru; Editing by Sriraj Kalluvila)
