Solaris Resources announces $80M financing package to fund Warintza

Solaris Resources announced that Solaris and OMF Fund IV SPV D LLC and OMF Fund IV SPV E LLC, entities managed by Orion Mine Finance Management, have entered into definitive agreements with respect to the previously announced financing package of US$80 million for the advancement of the Warintza Project in Ecuador, comprised of a US$60 million senior secured debt facility, an offtake with a buyback provision, a subscription for US$10 million in equity and a commitment for US$10 million in additional equity financing. Highlights: 4-year term for the Senior Loan; No hedging conditions; Buyback provision for Offtake upon a change of control in certain circumstances; Drawdown of the Senior Loan will occur in three tranches based on milestones with the first US$30 million expected to close in the coming weeks, a US$15 million drawdown to occur on the submission of an Environmental Impact Assessment, and another US$15 million drawdown to occur on the publication of a Pre-Feasibility Study for the Warintza Project; Orion and Solaris have entered into an Offtake for Orion to purchase 20% of metals produced from the Project for a period of 20 years from the start of production Subscription of the initial US$10 million of the Company’s common shares at a price of C$5.11, representing the closing price prior to the initial announcement on November 6, 2023, with a further US$10 million equity financing commitment which can be called upon at a later date by Solaris upon the satisfaction of certain conditions/ Net proceeds will be used to fund the advancement of the Warintza Project including exploration and infill drilling, technical and environmental programs and studies, permitting, community social relations programs, and general and working capital purposes