Overview of Orion Minerals' recent financial activities

Orion Minerals Ltd (ASX: $ORN) has released its quarterly cash flow report for the quarter ended June 2024. The report highlights the securing of project funding for the Okiep Copper Project and Prieska Copper Zinc Mine, with significant advances from the Industrial Development Corporation of South Africa Limited (IDC) and Triple Flag. The company also completed a high expenditure program of trial mining at its PCZM project and is scheduled to finish feasibility studies for both Okiep and PCZM during the September 2024 Quarter.

Executive commentary on funding and future operations

The Company completed a high expenditure program of trial mining at its PCZM project on 30 June 2024 and two additional high expenditure exercises of feasibility studies for both Okiep and PCZM are scheduled for completion during the September 2024 Quarter. During the June 2024 Quarter, the Company also completed the first phase of the Okiep Copper Project acquisition, resulting in unusual high expenditure. The operating cash flows are anticipated to reduce in the upcoming period until project funding is secured to ramp up operations and mine development. On 1 July 2024, the Company announced a $A7.7 million (~ZAR92.3 million) capital raising, conducted via a placement to sophisticated and professional investors, pursuant to Section 708A of the Corporations Act 2001 (Placement). Negotiations with several financing institutions and project development partners are continuing to secure the project development finance to the PCZM and Okiep Mining projects. The company is adequately funded to meet all obligated expenditures for a 12 month period and expects to continue its operations and meet its business objectives as planned.

Summary of Orion Minerals' financial position and future outlook

Orion Minerals Ltd (ASX: $ORN) has successfully secured project funding for the Okiep Copper Project and Prieska Copper Zinc Mine through agreements with the Industrial Development Corporation of South Africa Limited (IDC) and Triple Flag. The IDC funding for the Flat Mines Project and the IDC Convertible Loan for the Prieska Copper Zinc Mine provide the necessary financial support for early mining works, pre-development activities, and feasibility studies. The company's completion of a high expenditure program of trial mining at its PCZM project and the ongoing negotiations with financing institutions and project development partners demonstrate its commitment to securing the required funding for future operations. With the recent capital raising and the Share Purchase Plan, Orion Minerals is taking proactive steps to raise further cash to fund its operations. The company's expectation to continue its operations and meet its business objectives is based on the funding initiatives and negotiations in progress. Orion Minerals' ability to secure project funding and its proactive approach to raising additional capital position it well to pursue its corporate strategy and meet its business objectives in the coming months.