Imperial to issue up to $35M of non-convertible debentures

Imperial Metals (TSX:III) is planning to issue unsecured non-convertible debentures with an aggregate principal amount of $35 million. This is a non-brokered private placement. Proceeds will be used primarily for the operation and development at the Red Chris copper-gold mine near Dease Lake, B.C.

The mine is a joint venture of Imperial Metals (30%) and Newcrest Mining (TSX:NCM; ASX:NCM; OTC:NCMGY) (70%).

The Red Chris mine operates as an open pit, but in 2021 a prefeasibility study was released examining the idea of going underground using the block cave method. The project was given a net present value of $2.3 billion and a 17% internal rate of return over an initial 31-year mine life. It is projected to produce 176. 4 million lb. of copper and 316,000 oz. of gold annually. With block cave methods, the all-in sustaining cost of gold would be $180 per ounce.

The feasibility study is to be completed by the end of this year.

Imperial also holds the Mount Polley copper mine (100%), the mothballed Huckleberry copper mine (100%) and 23 greenfield exploration properties in British Columbia.

Please visit www.ImperialMetals.com for more information.