Perpetua Resources gets $2.9B EXIM loan for Stibnite project in Idaho

Perpetua Resources (Nasdaq, TSX: PPTA) said on Thursday the US Export-Import Bank (EXIM) has approved a $2.9 billion loan as part of the Make More in America (MMIA) initiative to fund the development of its Stibnite project in Idaho.

EXIM’s decision to approve the financing marks a landmark transaction under the initiative and advances American production and manufacturing to be more competitive on the world stage, the company said.

The Stibnite project, with a vast resource for gold, also contains the only identified domestic reserve of antimony, and EXIM’s investment advances US critical mineral independence for antimony, a critical mineral essential for defense production, and used to harden lead for ammunition.

Last year, the company began early works construction at the $1.3 billion project, which was fast-tracked by the Trump administration to align with the US Army’s objective of establishing a fully domestic “ground-to-round” antimony trisulfide supply chain.

“It is time to make more in America, and today marks not only a key milestone for Perpetua Resources, but a significant step in mineral security for our country,” Perpetua CEO Jon Cherry said in a news release. “When the federal government and private industry work together on a shared national priority, big things are made possible.”

The EXIM financing package, combined with Perpetua’s cash on hand, is expected to fully fund the direct construction of the Stibnite project based on the current capital cost estimates, Perpetua said.

“This investment strengthens America’s economic and national security by advancing a reliable domestic supply of critical minerals essential to our manufacturing and defense industries,” Idaho Senator Mike Crapo added.

To date, the project has gone through rigorous scientific and public review, was identified as a transparency project under the FAST-41 program, and has received substantial support and partnership from the Department of War. In October, it secured significant investments from JPMorgan and Agnico Eagle Mines (TSX, NYSE: AEM).

By market close in New York, Perpetua Resources’ stock was down 2.8%, for a market capitalization of $3.34 billion.