Q1 Financial Results For The Three Months Ended 31 March 2022
LONDON, UK / ACCESSWIRE / May 16, 2022 / Horizonte Minerals Plc (AIM:HZM)(TSX:HZM), the nickel company focused in Brazil announces it has today published its unaudited financial results for the three month period to 31 March 2022 and the Management Discussion and Analysis for the same period. Both of the aforementioned documents have been posted on the Company's website www.horizonteminerals.com and are also available on SEDAR at www.sedar.com.
Highlights for the period:
- Closing of US$633 million funding package for construction of Araguaia nickel project
- Awarded a number of key construction contracts including furnace, EPCM, and earthworks
- Further additions to the project execution team
- Approved start of construction in late January 2022 with earthworks contractor mobilised to site in May to maximise productivity during the dry season
- Project development work is running in line with the project execution schedule with a significant ramp-up in activity expected over the coming months as we move into the dry season
- Company to adopt reporting currency to USD (previously GBP) ahead of first revenue in 2024
- Strong balance sheet with cash and cash equivalents US$252m at 31 March 2022
Financial Update
The Company concluded the funding package of US$633 million in December 2021. The net proceeds of the fundraising will be used towards the construction of the Araguaia project as well as for general working capital purposes. The equity fundraise (US$197million of the US$633 million) was finalised and funds were received in December 2021. The debt elements of the funding package include Convertible Loan Notes (US$65 million), a Cost Overrun Facility of US$25 million, and a Senior Debt Facility of US$346.2 million were closed during March 22. First draw is expected on from the senior debt facility in late Q3 22.
The Company has changed its presentation currency from Pounds Sterling to US Dollars effective 1 January 2022. The presentation currency has been revised as the financing package concluded by the Group to construct the Araguaia project is denominated in US Dollars and future revenues will also be in US Dollars. The Board, therefore, believes that US Dollar financial reporting provides a more relevant presentation of the group's financial position, funding and treasury functions, financial performance, and cash flows.
For further information, visit www.horizonteminerals.com or contact:
Horizonte Minerals plc Jeremy Martin (CEO) Simon Retter (CFO) | info@horizonteminerals.com +44 (0) 203 356 2901 |
Peel Hunt LLP (Nominated Adviser & Joint Broker) Ross Allister David McKeown | +44 (0)20 7418 8900 |
BMO (Joint Broker) Thomas Rider Pascal Lussier Duquette Andrew Cameron | +44 (0) 20 7236 1010 |
Tavistock (Financial PR) Jos Simson Cath Drummond | +44 (0) 20 7920 3150 |
ABOUT HORIZONTE MINERALS
Horizonte Minerals plc (AIM & TSX: HZM) is developing two 100%-owned, Tier 1 projects in Parà state, Brazil - the Araguaia Nickel Project and the Vermelho Nickel-Cobalt Project. Both projects are large scale, high-grade, low-cost, low-carbon and scalable. Araguaia is fully funded and in construction. The project will produce 29,000 tonnes of nickel per year to supply the stainless steel market. Vermelho is at feasibility study stage and will produce 25,000 tonnes of nickel and 1,250 tonnes of cobalt to supply the EV battery market. Horizonte's combined near-term production profile of over 50,000 tonnes of nickel per year positions the Company as a globally significant nickel producer. Horizonte is developing a new nickel district in Brazil that will benefit from established infrastructure, including hydroelectric power available in the Carajás Mining District.
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http://www.rns-pdf.londonstockexchange.com/rns/5349L_1-2022-5-15.pdf
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SOURCE: Horizonte Minerals PLC
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