The Maharlika Investment Corporation (MIC) has finalized a $76.4 million bridge loan agreement to support the initial stages of the Maalinao-Caigutan-Biyog (MCB) Copper-Gold Project. The MIC announced on Monday that the funds will be utilized to enhance Makilala Mining’s feasibility study and front-end engineering design, build a primary access road in collaboration with the Kalinga provincial government, and provide skills training to the Balatoc Indigenous Cultural Community.
Makilala Mining, a subsidiary of Celsius Resources Limited, which is listed on both the Australian and London Stock Exchanges, will also use the loan to meet the financial obligations stipulated in its Mineral Production Sharing Agreement with the Philippine government.
The MIC’s decision to fund the MCB Project came after a thorough evaluation of its technical, financial, legal, environmental, and socio-economic dimensions, which showed encouraging preliminary outcomes.
The loan will be released in phases, starting with an initial $10 million to kickstart the project. The agreement also stipulates MIC’s involvement in significant project management decisions.
Further discussions are underway to secure additional equity funding for the MCB Project.
MIC’s President and CEO, Rafael Consing Jr., emphasized that the MCB Project is in line with the sovereign wealth fund’s objectives of promoting economic growth and sustainable development. He stated, ‘Our investment decision reflects a shared commitment to the sustainable, inclusive, and regenerative development of the MCB Project.’
Julito Sarmiento, President of Makilala Mining, highlighted that the loan signifies the government’s robust endorsement of responsible mining practices.