Skeena secures $750m for Eskay Creek project
Dual-listed Skeena Resources on Tuesday announced a financing package totalling $750-million, equivalent to more than C$1-billion, for the development, construction and working capital required for the Eskay Creek gold and silver project, British Columbia.
The funding package with Orion Resource Partners significantly derisks the project, as the company progresses Eskay Creek towards production in the first half of 2027.
The package comprises a $100-million equity investment, a $200-million gold stream with an option to buy back up to 66.7% for a 12-month period after commercial production starts, a $350-million senior secured loan and $100-million cost overrun facility in the form of an additional gold stream.
“We designed the financing package to provide the company with important strategic flexibility and significant funding prior to final permits, while maintaining optionality as we continue working to maximize stakeholder value by advancing the project,” said executive chairperson Walter Coles.
With funding committed, Skeena is working towards finalising the 2024 early works programmes and detailed engineering plans.
In the first five years of operation, Eskay Creek will produce an average of 455 000 gold-equivalent ounces.
The project will create over 800 direct jobs and potentially 2 000 jobs for outside service and contract organisations. The project is expected to contribute roughly C$1.5-billion in direct tax revenue to British Columbia and Canada over the life of the mine.
Comments
Press Office
Announcements
What's On
Subscribe to improve your user experience...
Option 1 (equivalent of R125 a month):
Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format
Option 2 (equivalent of R375 a month):
All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors
including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.
Already a subscriber?
Forgotten your password?
Receive weekly copy of Creamer Media's Engineering News & Mining Weekly magazine (print copy for those in South Africa and e-magazine for those outside of South Africa)
➕
Recieve daily email newsletters
➕
Access to full search results
➕
Access archive of magazine back copies
➕
Access to Projects in Progress
➕
Access to ONE Research Report of your choice in PDF format
RESEARCH CHANNEL AFRICA
R4500 (equivalent of R375 a month)
SUBSCRIBEAll benefits from Option 1
➕
Access to Creamer Media's Research Channel Africa for ALL Research Reports on various industrial and mining sectors, in PDF format, including on:
Electricity
➕
Water
➕
Energy Transition
➕
Hydrogen
➕
Roads, Rail and Ports
➕
Coal
➕
Gold
➕
Platinum
➕
Battery Metals
➕
etc.
Receive all benefits from Option 1 or Option 2 delivered to numerous people at your company
➕
Multiple User names and Passwords for simultaneous log-ins
➕
Intranet integration access to all in your organisation