Aston Bay Announces Strategic Partnership for the Storm Copper Project, Nunavut, Canada
Aston Bay Holdings (TSXV:BAY, OTCQB:ATBHF) has announced a significant strategic partnership for its Storm Copper Project in Nunavut, Canada. The company's joint venture partner, American West Metals, has secured an agreement with Ocean Partners Holdings that includes up to 80% project financing of initial capital and 100% offtake rights for copper and silver products.
Key developments include:
- Ocean Partners will provide project financing through a senior secured loan facility, subject to feasibility study
- Ocean Partners will subscribe to a US$2M financing in American West
- Taurus Mining Royalty has agreed to advance a US$3.5M second tranche royalty payment
- Aston Bay will receive 20% (C$0.996M) of the royalty funding
The Storm Copper Project is structured as a 20/80 unincorporated joint venture between Aston Bay and American West, with Aston Bay maintaining a free carried interest until a mining decision is made. The new funding will support exploration activities, Pre-Feasibility Study work, permitting, and equipment procurement.
Aston Bay Holdings (TSXV:BAY, OTCQB:ATBHF) ha annunciato una significativa partnership strategica per il suo Progetto Storm Copper nel Nunavut, Canada. Il partner di joint venture dell'azienda, American West Metals, ha ottenuto un accordo con Ocean Partners Holdings che include fino all'80% del finanziamento del progetto per il capitale iniziale e il 100% dei diritti di acquisto per i prodotti in rame e argento.
Sviluppi chiave includono:
- Ocean Partners fornirà finanziamenti per il progetto tramite una struttura di prestito senior garantito, soggetta a uno studio di fattibilità
- Ocean Partners sottoscriverà un finanziamento di 2 milioni di dollari USA in American West
- Taurus Mining Royalty ha concordato di anticipare un pagamento di royalty di 3,5 milioni di dollari USA nella seconda tranche
- Aston Bay riceverà il 20% (C$0.996M) del finanziamento delle royalty
Il Progetto Storm Copper è strutturato come una joint venture non incorporata 20/80 tra Aston Bay e American West, con Aston Bay che mantiene un interesse libero fino a quando non viene presa una decisione mineraria. Il nuovo finanziamento supporterà le attività di esplorazione, il lavoro di studio di pre-fattibilità, i permessi e l'acquisto di attrezzature.
Aston Bay Holdings (TSXV:BAY, OTCQB:ATBHF) ha anunciado una asociación estratégica significativa para su Proyecto Storm Copper en Nunavut, Canadá. El socio de joint venture de la compañía, American West Metals, ha asegurado un acuerdo con Ocean Partners Holdings que incluye hasta el 80% de financiamiento del proyecto para el capital inicial y el 100% de derechos de compra para productos de cobre y plata.
Los desarrollos clave incluyen:
- Ocean Partners proporcionará financiamiento del proyecto a través de una instalación de préstamo garantizado senior, sujeto a un estudio de viabilidad
- Ocean Partners suscribirá un financiamiento de 2 millones de dólares estadounidenses en American West
- Taurus Mining Royalty ha acordado adelantar un pago de regalías de 3,5 millones de dólares estadounidenses en la segunda tranche
- Aston Bay recibirá el 20% (C$0.996M) del financiamiento de regalías
El Proyecto Storm Copper está estructurado como una joint venture no incorporada 20/80 entre Aston Bay y American West, con Aston Bay manteniendo un interés libre hasta que se tome una decisión minera. El nuevo financiamiento apoyará las actividades de exploración, el trabajo del estudio de pre-factibilidad, los permisos y la adquisición de equipos.
Aston Bay Holdings (TSXV:BAY, OTCQB:ATBHF)는 캐나다 누나부트에 있는 스톰 구리 프로젝트를 위한 중요한 전략적 파트너십을 발표했습니다. 회사의 합작 투자 파트너인 American West Metals는 Ocean Partners Holdings와의 계약을 통해 초기 자본의 최대 80% 프로젝트 자금 조달과 구리 및 은 제품에 대한 100% 구매 권리를 확보했습니다.
주요 발전 사항은 다음과 같습니다:
- Ocean Partners는 타당성 조사에 따라 선순위 담보 대출 시설을 통해 프로젝트 자금을 제공합니다.
- Ocean Partners는 American West에 200만 달러의 자금을 투자합니다.
- Taurus Mining Royalty는 350만 달러의 두 번째 분할 로열티 지급을 선지급하기로 합의했습니다.
- Aston Bay는 로열티 자금의 20% (C$0.996M)를 받습니다.
스톰 구리 프로젝트는 Aston Bay와 American West 간의 20/80 비법인 합작 투자로 구성되며, Aston Bay는 채굴 결정이 내려질 때까지 무상 이익을 유지합니다. 새로운 자금은 탐사 활동, 사전 타당성 연구 작업, 허가 및 장비 조달을 지원할 것입니다.
Aston Bay Holdings (TSXV:BAY, OTCQB:ATBHF) a annoncé un partenariat stratégique significatif pour son Projet Storm Copper au Nunavut, Canada. Le partenaire de coentreprise de l'entreprise, American West Metals, a obtenu un accord avec Ocean Partners Holdings qui comprend jusqu'à 80 % de financement du projet pour le capital initial et 100 % des droits d'achat pour les produits en cuivre et en argent.
Les développements clés comprennent :
- Ocean Partners fournira un financement de projet par le biais d'un prêt senior garanti, sous réserve d'une étude de faisabilité
- Ocean Partners souscrira à un financement de 2 millions de dollars américains dans American West
- Taurus Mining Royalty a convenu d'avancer un paiement de redevances de 3,5 millions de dollars américains dans la deuxième tranche
- Aston Bay recevra 20 % (C$0.996M) du financement des redevances
Le Projet Storm Copper est structuré comme une coentreprise non constituée en société de 20/80 entre Aston Bay et American West, Aston Bay conservant un intérêt gratuit jusqu'à ce qu'une décision minière soit prise. Le nouveau financement soutiendra les activités d'exploration, les travaux d'étude de pré-faisabilité, les permis et l'acquisition d'équipements.
Aston Bay Holdings (TSXV:BAY, OTCQB:ATBHF) hat eine bedeutende strategische Partnerschaft für sein Storm Copper Projekt in Nunavut, Kanada, angekündigt. Der Joint-Venture-Partner des Unternehmens, American West Metals, hat eine Vereinbarung mit Ocean Partners Holdings gesichert, die bis zu 80% der Projektfinanzierung für das anfängliche Kapital und 100% der Abnahmerechte für Kupfer- und Silberprodukte umfasst.
Wichtige Entwicklungen sind:
- Ocean Partners wird die Projektfinanzierung über eine senior gesicherte Darlehensfazilität bereitstellen, vorbehaltlich einer Machbarkeitsstudie
- Ocean Partners wird sich an einer Finanzierung in Höhe von 2 Millionen US-Dollar in American West beteiligen
- Taurus Mining Royalty hat zugestimmt, eine zweite Tranche von 3,5 Millionen US-Dollar an Lizenzgebühren vorab zu zahlen
- Aston Bay wird 20% (C$0.996M) der Lizenzgebührenfinanzierung erhalten
Das Storm Copper Projekt ist als eine 20/80 nicht eingetragene Joint Venture zwischen Aston Bay und American West strukturiert, wobei Aston Bay bis zur Entscheidung über den Bergbau ein freies Interesse behält. Die neue Finanzierung wird die Explorationsaktivitäten, die Arbeiten zur Voruntersuchung, die Genehmigungen und die Beschaffung von Ausrüstung unterstützen.
- Secured up to 80% project financing for initial capital development
- Received advance US$3.5M royalty payment from Taurus Mining
- Secured C$0.996M in unrestricted funding for Aston Bay
- Obtained technical and market advisory support from Ocean Partners
- Maintains free carried interest until mining decision
- Dilution of product revenue potential through 100% offtake agreement with Ocean Partners
- Project advancement dependent on completion of bankable feasibility study
Offtake and funding deal to advance development and exploration activities
TORONTO, ON / ACCESS Newswire / April 9, 2025 / Aston Bay Holdings Ltd. (TSXV:BAY)(OTCQB:ATBHF) ("Aston Bay" or the "Company") is pleased to announce that its Storm Copper Project ("Storm" or the "Project") joint venture partners American West Metals Ltd ("American West") has entered into a strategic partnership and funding agreement with Ocean Partners Holdings Ltd ("Ocean Partners" or "OP") for the development of Storm including financing of up to
In addition, Taurus Mining Royalty has agreed to advance the second tranche of the Royalty payment (see June 24, 2024, Aston Bay news release).
The Storm Copper Project is a 20/80 unincorporated joint venture between Aston Bay and American West, the Project operator. Aston Bay maintains a free carried interest until a decision to mine is made upon completion of a bankable feasibility study.
Highlights:
Strategic Partnership with Ocean Partners. Aston Bay's joint venture partner, American West Metals, has entered into a partnership and funding agreement with Ocean Partners Holdings Ltd - a global metal trading, technical advisory, and financing company - for the development of the Storm Copper Project. Terms of the binding heads of agreement include:
Project Financing - OP will provide up to
80% of initial capital for the development of the Project via a senior secured loan facility, subject to a bankable feasibility study and formal documentationOfftake - OP will enter into a binding offtake agreement ("Offtake Agreement") which secures OP
100% of the offtake of copper and silver products from the Project for the near-surface copper mineralization at Storm; subject to this agreement, OP will subscribe to a US$2m financing in American WestTechnical and copper market advisory. The American West/OP strategic alliance will work together to optimise and advance the development activities to define the best outcomes for the Project
US
$3.5m Royalty funding brought forward. Taurus Mining Royalty has agreed to advance the US$3.5m second tranche of the Royalty payment, with payments to be made this month. Aston Bay will be allocated20% of the funding from the royalty payment (C$0.99 6 million) with no restriction on the use of proceeds. The remainder of the royalty payment is allocated to American West to advance the Storm Project.New funds to be used to advance the Storm Copper Project, including:
An expansion of exploration activities, including drilling at near-mine and regional exploration targets
Pre-Feasibility Study ("PFS") and permitting activities to advance the development of the Storm Project
Securing of key, long-lead processing and mining equipment
Thomas Ullrich, Chief Executive Officer of Aston Bay, commented:
"We are thrilled to announce this strategic partnership and funding package for the Storm Copper Project. Ocean Partners is an experienced global leader in ore-sorting and direct shipping ore ("DSO") copper project development; they bring both funding and the technical know-how to advance the project. The partnership speaks to the quality of the project and the American West/Aston Bay joint venture team, validation of the Project, and highlights a low-risk pathway to potential development.
"Taurus' release of the second tranche of the royalty payment also speaks to their strong belief in the development and growth potential at Storm. The funding from both Ocean Partners and Taurus will be used by American West in a dual strategy of aggressive exploration coupled with project development during 2025. This is a significant milestone for the Project and Aston Bay."
About Ocean Partners
Ocean Partners offers a complete range of trading services for miners, smelters, refiners, and metal consumers around the world. Working closely with global partners, Ocean Partners offer customized risk management solutions while linking clients to unique market opportunities.
Ocean Partners operates worldwide via strategic offices, agencies, and partnerships. The Ocean Partners team has extensive backgrounds in mining, geology, metallurgy, and finance which includes significant experience within the DSO markets.
Strategic Partnership Key Terms
The American West/Ocean Partners strategic partnership represents a significant step in securing the future of Storm and highlights the Project's position as an emerging potential producer of high-quality copper and silver raw materials.
The long-term agreement with OP follows an extensive due diligence process and further highlights Storm as a viable, low-risk, highly ESG-credentialed copper-silver growth story. OP has a successful track record of funding base metals projects utilizing ore-sorting to produce a commercial DSO product, which will be valuable to enhancing the technical aspects of the development work at Storm.
The key terms of the Ocean Partners binding Heads of Agreement are set out below:
US
$2 million Private Placement in American West
Funds will be advanced to American West for the issue of ordinary shares subject to certain terms and conditions.
Project Debt Financing
Ocean Partners will work together with American West to arrange funding for the development of the Storm Project. OP will provide up to
Offtake Agreement
Ocean Partners are granted exclusive right to
American West and Ocean Partners will work together to optimise the economics and product specifications for the Project. Pricing for the offtake will be based on market terms usual for transactions of this type.
The offtake agreement recognizes the high quality of the proposed Storm copper-silver products and OP's belief in the development potential of the Project.
Royalty Payment Tranche Brought Forward
Taurus has agreed to advance the second tranche of the US
The amount of US
For further details of the royalty package, see see June 24, 2024, Aston Bay news release.
Use of Funds
The funds from the Royalty and Private Placement will be used explicitly for exploration and development activities at the Storm Copper Project, including:
Exploration along the 110km copper belt, including the drilling of regional targets such as the Blizzard and Tornado Prospects.
Expansion of the known resources.
Resource definition at the Cirrus Deeps, Cyclone Deeps, The Gap, Hailstorm, Squall, and other high-grade copper Prospects.
PFS activities, including further metallurgical testing and process optimization, geotechnical drilling, project engineering, and costing studies.
Qualified Person
Michael Dufresne, M.Sc., P.Geol., P.Geo., is a Qualified Person as defined by the NI 43-101 Standards of Disclosure for Mineral Projects, and has reviewed and approved the scientific and technical information in this press release.
About Aston Bay Holdings
Aston Bay is a publicly traded mineral exploration company exploring for high-grade critical and precious metal deposits in North America.
The Company is currently exploring the Storm Copper Property and Cu-Ag-Zn-Co Epworth Property in Nunavut. The Company is also in advanced stages of negotiation on other lands with high-grade precious and critical metals potential in North America
The Company and its joint venture partners, American West Metals Limited and its wholly-owned subsidiary, Tornado Metals Ltd. (collectively, "American West"), have formed a 20/80 unincorporated joint venture in respect of the Storm Project property, which hosts the Storm Copper Project and the Seal Zinc Deposit. Under the unincorporated joint venture, Aston Bay shall have a free carried interest until American West has made a decision to mine upon completion of a bankable feasibility study, meaning American West will be solely responsible for funding the joint venture until such decision is made. After such decision is made, Aston Bay will be diluted in the event it does not elect to contribute its proportionate share and its interest in the Storm Project property will be converted into a
FORWARD-LOOKING STATEMENTS
Statements made in this news release, including those regarding entering into the joint venture and each party's interest in the Project pursuant to the agreement in respect of the joint venture, management objectives, forecasts, estimates, expectations, or predictions of the future may constitute "forward-looking statement", which can be identified by the use of conditional or future tenses or by the use of such verbs as "believe", "expect", "may", "will", "should", "estimate", "anticipate", "project", "plan", and words of similar import, including variations thereof and negative forms. This press release contains forward-looking statements that reflect, as of the date of this press release, Aston Bay's expectations, estimates and projections about its operations, the mining industry and the economic environment in which it operates. Statements in this press release that are not supported by historical fact are forward-looking statements, meaning they involve risk, uncertainty and other factors that could cause actual results to differ materially from those expressed or implied by such forward-looking statements. Although Aston Bay believes that the assumptions inherent in the forward-looking statements are reasonable, undue reliance should not be placed on these statements, which apply only at the time of writing of this press release. Aston Bay disclaims any intention or obligation to update or revise any forward-looking statement, whether as a result of new information, future events or otherwise, except to the extent required by securities legislation.
Neither TSX Venture Exchange nor its regulation services provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this news release.
For more information contact:
Thomas Ullrich, Chief Executive Officer
thomas.ullrich@astonbayholdings.com
(416) 456-3516
Sofia Harquail, IR and Corporate Development
sofia.harquail@astonbayholdings.com
(647) 821-1337
SOURCE: Aston Bay Holdings Ltd.
View the original press release on ACCESS Newswire
FAQ
What financing terms did Ocean Partners offer for ATBHF's Storm Copper Project?
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