MONGOLIA – Vancouver-based Turquoise Hill Resources has arranged US$4.4 billion project finance facility for its Oyu Tolgoi copper-gold project in the South Gobi area. The funds will be provided by a syndicate that includes international financial institutions and export credit agencies representing the governments of Canada, the United States and Australia, along with 15 commercial banks.
The funds will allow the company to complete a feasibility study and restart underground development. Production of copper and gold began in 2013 from an open pit mine. Annual production is 175,000 to 195,000 tonnes of copper and 600,000 to 700,000 oz of gold.
Turquoise Hill calls the funding arrangement a milestone for the project and a vote of confidence in both Oyu Tolgoi and Mongolia. The public company has a 66% interest in the project, and the balance is held by the Mongolian government.
Visit TurquoiseHill.com for more information including a video of proposed underground development.