Silver Bow lands $88M funding and offtake package from Ocean Partners
What's the deal? Silver Bow MiningDealroom has a profile for this one. Try Dealroom →, a Montana-focused miner listed on the NYSE, has signed a term sheet with Ocean Partners UKDealroom has a profile for this one. Try Dealroom → for an integrated funding, credit support and offtake package valued at $88 million.
What's inside? The package contemplates a $40 million concentrate prepayment facility tied to ten-year zinc and lead offtake agreements, about $43.1 million in reclamation bond guarantees, and a $5 million lead in a future Silver Bow equity investment.
A binding $5 million pre-closing bridge note, to be funded within five business days of signing, forms part of and will be credited against the first tranche of the prepayment facility.
What's the endgame? Silver Bow says the deal funds the restart of its Rainbow Block project, the refurbishment of the Montana Tunnels Mine, and working capital — without production-timing covenants. The company previously agreed to acquire the Montana Tunnels complex and targets final closing in the fourth quarter.
The offtake: The concentrate agreements will cover output attributable to the Rainbow Block, ores from outside the M-Pit at Montana Tunnels, and one-third of concentrate from M-Pit ores.
The signal: Pairing prepayment financing with long-term offtake lets a junior miner fund a restart without heavy dilution or timing pressure — a model that gives traders like Ocean PartnersDealroom has a profile for this one. Try Dealroom → secured supply while keeping the operator flexible.
Read more: miningweekly.com
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