Ivanhoe Electric Secures $200 Million Financing to Advance Arizona Copper Development

Ivanhoe Electric Inc. (NYSE American: IE; TSX: IE) has successfully closed a $200 million senior secured bridge facility through its subsidiary Mesa Cobre Holding Corporation. The financing was structured by a banking syndicate led by National Bank of Canada, BMO Capital Markets, and Societe Generale, marking a critical funding milestone for the company’s Santa Cruz Copper Project in Arizona.

Financing Structure and Key Terms

The bridge facility provides Ivanhoe Electric with immediate liquidity to support near-term construction activities scheduled for 2026, while the company advances broader project financing negotiations. The loan features a two-year maturity with full repayment due at the end of the term.

Interest on the facility is calculated at three-month Secured Overnight Financing Rate plus 500 basis points, with step-ups of 50 basis points occurring at the 6-month, 12-month, and 18-month marks following closing. Based on current market conditions, the borrowing rate stands at approximately 8.7%. Standard arrangement and commitment fees apply to both drawn and undrawn portions of the credit line.

Collateral securing the facility includes Ivanhoe Electric’s private land holdings and tangible project assets associated with the Santa Cruz Copper Project. Endeavour Financial provided advisory services for the transaction, while Allen Overy Shearman Sterling and Dorsey & Whitney handled legal matters.

Project Financing Strategy and Timeline

This bridge facility complements Ivanhoe Electric’s comprehensive long-term financing approach for Santa Cruz, which encompasses potential minority equity partnerships and project-level debt arrangements. The company received a Letter of Interest from the U.S. Export-Import Bank (EXIM) in April 2025 offering $825 million in project debt financing. EXIM’s full application process is underway, with Ivanhoe Electric targeting completion of the overall project financing package by mid-2026.

The Santa Cruz Copper Project represents the company’s flagship development initiative, designed to support domestic American supply chains for critical minerals essential to infrastructure, manufacturing, and national security applications.

About Ivanhoe Electric

Ivanhoe Electric operates as a U.S.-based minerals exploration firm concentrating on copper and critical metals deposits across North America. The company employs proprietary geophysical technology called Typhoon™, complemented by advanced analytics from its 94.3% owned subsidiary Computational Geosciences Inc., to enhance exploration efficiency and reduce discovery risk.

Beyond Santa Cruz, Ivanhoe Electric maintains a 50/50 exploration joint venture with Saudi Arabia’s Maaden company covering approximately 48,500 square kilometers of underexplored territory in the Arabian Shield. The company also established a 2024 exploration partnership with BHP Mineral Resources Inc., subsidiary of BHP Group Limited, to identify critical mineral opportunities throughout the United States.