Copper explorer Ivanhoe Electric has received a preliminary indication of support from the Export-Import Bank of the United States (EXIM) for up to $825-million in debt financing to advance its Santa Cruz copper project in Arizona.

The potential loan, which would carry a 15-year repayment term, is being considered under EXIM’s 'Make More in America' initiative – a programme designed to bolster domestic supply chains and reduce reliance on foreign sources for strategic materials. 

The nonbinding letter of interest is a key early step in the federal lending process and signals strong alignment between the project’s goals and US industrial policy.

“Receipt of the Export-Import Bank of the United States’ letter of interest underscores the importance of our Santa Cruz copper project to grow domestic copper production,” said executive chairperson Robert Friedland. 

“The United States urgently needs more domestically produced copper to support the rapid expansion and rebuilding of its electric transmission and transportation infrastructure, national defence capabilities, and technologies of the future.”

The Santa Cruz project, located on private land and fully owned by Ivanhoe Electric, is being developed as a vertically integrated operation that would produce pure copper cathode onsite — a rarity in the US copper sector. That positioning makes it eligible for multiple federal incentives, including EXIM’s Supply Chain Resilience Initiative and the Section 45X advanced manufacturing production tax credit.

“We are grateful for this strong show of support by the Export-Import Bank of the United States for the development of our Santa Cruz copper project,” said president and CEO Taylor Melvin. 

A formal loan application would trigger a due diligence process by EXIM, including underwriting assessments and legal review. Any final lending decision would be subject to the agency’s policy and programme requirements.

The Santa Cruz project is being fast-tracked toward construction. Engineering firm Fluor is leading the work, and a preliminary feasibility study is expected by June. Ivanhoe Electric anticipates permitting and detailed engineering to continue throughout 2025, with early-stage construction targeted for the first half of 2026.

The project could play a vital role in strengthening the US copper supply chain as demand surges in support of electrification, grid upgrades, and energy transition technologies. Ivanhoe Electric, which also owns proprietary geophysical exploration technology, has positioned itself at the intersection of mining innovation and strategic resource development.

“We look forward to working together with the EXIM Bank to advance this significant financing opportunity,” Melvin said.