Junior explorer Power Minerals (ASX:PNN) has secured $1 million in short-term funding through a loan facility with company Managing Director Mena Habib.
The $14.85 million market capitalisation company says the funds from the MD will help support its near-term ‘project-advancing’ activities and general working capital requirements.
The loan is unsecured and has a 6-month term. It comes with a 5% per annum interest rate, and the repayment of the loan in full will be due when the loan term ends.
However, it marks just one of several short-term funding streams set to hit Power Minerals’ bank in the coming week and months.
The company is still scheduled to pocket $1.5 million from the sale of its non-core Santa Ines Copper-Gold Project in Argentina to China-based Fuyang Minjin New Energy Development Co, as first announced in May 2023.
Further, Power Minerals is set to receive US$1 million from the second tranche of a strategic investment from its direct lithium extraction (DLE) tech provider, Summit Nanotech. Power received the first tranche of this investment at the end of October 2023.
On 27 December 2023, a binding term sheet and joint venture deal for the funding and development of the Incuahasi salar at Power’s Salta Lithium Project in Argentina between Power and Summit.
Alongside the Salta project, Power Minerals also owns the Eyre Peninsula Kaolin-Halloysite Project and the Musgrave Nickel-Copper-Cobalt and Platinum Group Elements Project, both in South Australia.
Power Minerals had around $2.37 million cash and cash equivalents at hand on 30 September 2023, according to its latest quarterly report.
Write to Joshua Smith at Mining.com.au
Images: Power Minerals