Canada Nickel Company (TSXV: CNC) is one step closer to securing debt financing for the development of its flagship Crawford Nickel Project in Ontario. The company has received a letter of interest from Export Development Canada in relation to funding the project.

The letter of interest is said to outline potential funding of the project, to the tune of US$500 million. Funding would come in the form of project debt, with the debt to be provided for a term of up to eighteen years subject to certain conditions.

Progression of potential funding by Export Development Canada is said to be subject to completion of a “rigorous due diligence process.”

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“The LOI, along with the refundable critical minerals and carbon capture & storage tax credits in excess of US$600 million that the Company expects to qualify for the initial phase of Crawford’s development, demonstrates the significant commitment of the federal government to support this critical project as a high priority. Additionally, we continue to make good progress with our financial advisors Deutsche Bank, Scotiabank and Cutfield Freeman to secure the remaining project funding required to begin construction when permits are received, which we expect to be by mid 2025,” commented Canada Nickel CEO Mark Selby.

Canada Nickel last traded at $0.99 on the TSX Venture.

Information for this briefing was found via Sedar and the companies mentioned. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.