Perth-based Mirabela Nickel Ltd has drawn down the full $70 million loan from Russian company Norilsk Nickel.
Perth-based Mirabela Nickel Ltd has drawn down the full $70 million loan from Russian company Norilsk Nickel.
Mirabela said funds from the $US50 million ($A70 million) subordinated loan will be used towards the ongoing construction of the Santa Rita nickel project in Brazil, which is due to start production next year.
The loan was part of a five-year off-take agreement between the companies, with Norilsk to purchase 50 per cent of the nickel produced from Santa Rita until the end of 2014.
Norilsk has an option to convert the subordinated loan to shares in Mirabela at a price of $US8 per share, up to a maximum of $US40 million.
Brazil company Votorantim will buy the other 50 per cent of nickel concentrate produced by the project, and it has also agreed to provide a $US50 million subordinated loan.
