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Mining industry

Canada Growth Fund Invests in Foran Mining, Advancing McIlvenna Bay Copper-Zinc Project

Strategic Insights

— 1 min read

Canada Growth Fund (CGF) has committed approximately C$156m ($111.6m) to Foran Mining's strategic non-brokered private placement, alongside co-investors Agnico Eagle Mines and Fairfax Financial Holdings. The investment aims to support the development of Foran's flagship asset, the McIlvenna Bay project in Saskatchewan, Canada. Foran will issue 116.6 million common shares at $3 each for gross proceeds of around C$350m, with the offering expected to close in two tranches, starting with approximately C$296m by May 28, 2025.

Key Takeaways:

  • CGF has committed approximately C$156m to Foran Mining's C$350m strategic non-brokered private placement.
  • The investment is part of a broader effort to support the development of Foran's flagship asset, the McIlvenna Bay project in Saskatchewan, Canada.
  • Foran will issue 116.6 million common shares at $3 each, with the offering expected to close in two tranches, starting with approximately C$296m by May 28, 2025.
  • Dan Myerson, Foran's executive chairman and CEO, will personally invest approximately C$1m in the offering.
  • Proceeds from the offering will be earmarked for construction completion at McIlvenna Bay and advancing exploration at nearby and regional targets.
  • The McIlvenna Bay project will contribute to local job creation and increase Canadian copper and zinc production by up to 4% and 22%, respectively.
  • The project is currently the only copper and zinc deposit under construction in Canada, located along the Flin Flon Greenstone Belt.
  • Canada Growth Fund's president and CEO, Yannick Beaudoin, emphasized the importance of building strong supply chains for critical minerals, from extraction to end-use.
  • Foran Mining has received a financial package of up to C$315m to support the initial phase of the McIlvenna Bay project, announced in July 2024.

Statistics:

  • CGF has committed approximately C$156m to Foran Mining's C$350m strategic non-brokered private placement, accounting for approximately 44.6% of the total funding.
  • Foran will issue 116.6 million common shares at $3 each for gross proceeds of around C$350m.
  • The first tranche of approximately C$296m is expected to close by May 28, 2025.
  • The McIlvenna Bay project will contribute to local job creation and increase Canadian copper and zinc production by up to 4% and 22%, respectively.
  • The project is currently the only copper and zinc deposit under construction in Canada.

Sources:

  • "Canada Growth Fund Invests in Foran Mining, Advancing McIlvenna Bay Copper-Zinc Project" by Global Data Point (SyndiGate Media Inc., 2022)

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