Update on Andromeda Metals Limited's Great White Project funding

Andromeda Metals Limited (ASX:ADN) has provided an update on the progress of funding for the Great White Project (GWP). The company has been working on delivering key elements required to enable the funding of the Project and a final investment decision (FID). The capital expenditure for Stage 1A+ of the Project is $84 million, with the anticipated funding requirement, excluding financing costs, interest, and cash reserves, being $90 million. Andromeda Metals Limited is considering debt to equity structures of up to two thirds debt to one third equity, as well as alternative financing structures such as royalties.

Executive Commentary on Project Funding Progress

The Company has made significant progress in securing funding for the Great White Project. The completion of the Bankable Feasibility Study (BFS) for the expanded initial Stage 1A+ of the Project, along with the review of the BFS by Behre Dolbear, has been instrumental in attracting potential lenders. The signing of binding offtakes, particularly the Traxys agreement, has further strengthened the funding process. We are currently in discussions with multiple potential debt financiers, including Government funding bodies, banks, and private credit institutions. Additionally, the search for cornerstone equity investor(s) is underway, supported by the appointment of Azure Capital to secure cornerstone equity. With all the key elements in place, we are confident in progressing towards a final investment decision.

Summary of Project Funding Update

Andromeda Metals Limited (ASX:ADN) has made significant strides in advancing the funding for the Great White Project. The company has successfully completed the necessary key elements, including the BFS, review by Behre Dolbear, and the signing of binding offtakes, particularly the Traxys agreement. The Company is actively engaged in discussions with potential debt financiers, Government funding bodies, banks, and private credit institutions. Furthermore, the search for cornerstone equity investor(s) is underway, supported by the appointment of Azure Capital. With all the elements in place, Andromeda Metals Limited is confident in progressing towards a final investment decision. The completion of the greenfield development funding process is anticipated to take between 4-5 months, subject to market conditions, after which a final investment decision can take place.