Exim signals financing interest in Syerston scandium project
ASX- and OTC-listed Sunrise Energy Metals has received a letter of interest (LoI) from the Export-Import Bank of the United States (Exim) for up to $67-million (A$103-million) in potential debt financing to support development of the Syerston scandium project in New South Wales.
The amount represents about half of the project’s estimated development capital.
If Sunrise proceeds with a formal application, Exim will conduct due diligence before making a final lending commitment.
The LoI follows the US government’s designation of scandium as strategically important to its industrial supply chains, particularly since China imposed export controls on rare earth metals earlier this year. The Syerston project hosts the world’s largest and highest-grade scandium deposit.
“This LoI underscores the importance of scandium to the United States, both as a critical component in wireless communications technologies, and advanced alloys supporting the civilian and defence sectors,” said co-chairperson Robert Friedland. “As a key ally of the United States, Australia's significant endowment of strategic metals positions it to be an important supplier in the future.”
Managing director Sam Riggall added that the company was encouraged by the show of support by Exim for the financing and development of the Syerston project. "We expect it to strengthen our engagement with customers to secure offtake arrangements as we move the project towards a final investment decision and development.”
Meanwhile, Sunrise is progressing its feasibility study, which is now expected to be completed in mid- to late-October to incorporate the larger contained metal inventory from the recently updated mineral resource estimate and an optimised mine plan.
Last week, Sunrise reported a measured and indicated resource of 19 000 t of contained scandium at an average grade of 414 g/t.
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