Missouri-based US Strategic Minerals (USSM) has received a nonbinding letter of interest from the Export Import Bank of the US (Exim) for a potential debt funding package of $400-million.
The funding will enable the company to advance development of its Missouri-based mining and metallurgical project.
USSM’s metallurgical plant will process third-party concentrates and recycle metals from lithium-ion batteries. USSM will also mine and process the largest cobalt reserve in North America. The project will produce cobalt, nickel, lithium and copper. Its flexible flow sheet will enable it to supply the associated metals, intermediate products and salts which are required for the energy transition and other US strategic needs.USSM notes that the transaction may be eligible for special consideration under Exim China and Transformational Export Programme, a congressional mandate for Exim to help US companies facing competition from China in sectors including renewable energy, energy storage and energy efficiency.
Given China’s dominant market position in critical minerals used in lithium-ion battery and advanced superalloy applications, Exim’s potential funding for USSM supports a US-focused critical minerals supply chain and helps advance the company’s strategic partnerships for domestic US processing.
The Exim loan, in combination with existing equity and credit facilities, would provide funding for substantially all of the anticipated construction and development capital required to complete the project.
Following USSM’s formal application for debt funding, Exim will begin its formal due diligence process and conduct the required comprehensive underwriting to determine the appropriate terms and conditions of the loan.