Sydney and Toronto-listed Coalspur Mines Limited (ASX:CPL/TSE:CPT) has announced that it has obtained a USD$300 million senior secured debt facility from EIG Global Energy Partners, a niche investment fund which focuses exclusively on energy projects.
ABN Newswire reports that funds from the facility will be employed primarily as initial development capital for the Vista Coal Project in the Canadian province of Alberta, which CoalSpur believes has the potential to become the largest export thermal coal mine in North America.
The funds will also be applied to the repayment of Coalspur's outlanding loan facility with the Highland Park Group.
CoalSpur is currently in the midst of advanced discussions with several strategic trading and off-take parties to obtain further funding for the Vista project.
EIG will receive 100 million warrants for the purchase of shares in Coalspur, subject to necessary approvals from shareholders and regulators.
CoalSpur expects both the funding and off-take agreements to be executed and effective by the end of the first quarter of 2013.