Milbank LLP advised the export credit agencies and commercial lenders in connection with a $346.2 million senior debt financing package for the development of the greenfield Araguaia Nickel Project in Brazil sponsored by Horizonte Minerals PLC. The lending group included cover provided by EKF of Denmark and Finnvera of Finland with funding provided by BNP Paribas, BNP Paribas Fortis, ING Capital LLC, ING Bank N.V., Natixis, New York Branch, Société Générale and SEK, the Swedish Export Credit Corporation. The funding for the project also involved the issuance of a royalty to Orion Mine Finance, convertible loan notes issued to Orion and La Mancha Investments, and a cost overrun facility provided by Orion.
The Milbank team was led by partner Alec Borisoff, along with associates Laura Verlangieri, Olivia Scandura and Mae Ji together with support from environmental partner Matt Ahrens and associates Elizabeth Martinez and Seyda Duman.
Mr. Borisoff noted: “We are very pleased to have worked closely with a group of sophisticated lenders on this important project that represents a significant investment in meeting the global economy’s need for nickel. As a key input for both stainless steel and new battery technology, the development of major nickel resources such as Araguaia is critical to supporting energy transition commitments that will set the stage for a sustainable future. We are honored to have supported the development and financing of several world-class mining assets in the recent past that will help advance this transition and are delighted to have been part of the team that was able to bring the Araguaia financing to a successful conclusion.”
In addition to Araguaia, Milbank has had a lead role in numerous major greenfield and expansion financings in the mining sector in recent years, several of which have been awarded “deal of the year” recognition and representing several billion dollars’ of investment in the sector.
