Glencore’s $250m prepayment deal powers Orion’s Prieska copper restart

GLENCORE has secured bulk copper and zinc concentrates from South African junior Orion Minerals’ Prieska mine under a $250 million prepayment agreement, underscoring the intensifying global race for critical minerals.

- TAWANDA KAROMBO

ON MONDAY, Orion Minerals announced that its subsidiary, Prieska Copper Zinc Mine had now executed a binding prepayment agreement with Glencore for the $250m prepayment facility linked to the sale of bulk, copper and zinc concentrates from the asset.

(I SUPPLIED)

Orion will use the prepaid funding facility to bring its copper assets in the Northern Cape into production. The global rush for copper, driven by growing demand from renewable energy and storage, has brought a flurry of deal making in the local and global mining industry.

On Monday, Orion Minerals announced that its subsidiary, Prieska Copper Zinc Mine had now executed a binding prepayment agreement with Glencore for the $250m prepayment facility linked to the sale of bulk, copper and zinc concentrates from the asset.

Tony Lennox, CEO for Orion Minerals, said the first tranche of the facility “will fund the Uppers development” while the early drawdown on a second tranche will allow the company to “start work” on the Deeps project.