What’s the deal? McEwen Copper has closed a $240 million senior secured four-year term loan to advance its Los Azules copper project in San Juan, Argentina. Sprott Natural Resource Investment Partners contributed $112 million and Rob McEwen, chairman and chief owner of parent McEwen Inc., put in $85 million, with other lenders covering the remaining $43 million.
The terms: The loan carries 12.0% annual interest, payable monthly, with the principal due at maturity. Lenders also received 15,000 five-year McEwen Copper share purchase warrants per $1 million of principal, exercisable at $40 per share.
What’s the endgame? Proceeds will fund engineering and early works at Los Azules, which targets commercial copper cathode production in 2030. A final investment decision and full project financing are expected in mid-2027.
Why now? The loan bridges funding while McEwen Copper pursues broader project debt financing, for which it appointed Societe Generale sole financial advisor in May 2026. Preparations for a potential initial public offering continue in parallel.
Where things stand: The 2025-2026 field campaign wrapped with more than 5,600m of drilling, and engineering for the final investment decision is ahead of plan. Metso won the process equipment packages, the mining fleet tender is in final evaluation, and an EPCM contractor selection is expected in the fourth quarter of 2026.
Managing Director Michael Meding tied the raise to reforms under President Javier Milei, saying “the initiatives of President Javier Milei have helped make Argentina an increasingly attractive destination for large-scale foreign investment.”
The signal: At $240 million, the loan ranks in roughly the 92nd percentile of all debt rounds raised in Canada, underscoring how much capital major copper projects require before a shovel-ready decision — and how far Argentina has come as a destination for that capital.
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