McEwen forms partnership with IFC

Executive Summary

• McEwen Copper Inc. and the International Finance Corp. (IFC) have signed a collaboration agreement to align the Los Azules copper project with IFC’s ESG performance standards, positioning it for future debt and equity financing.
• The agreement aims to de‑risk Los Azules, improve its appeal to international investors, and potentially make IFC a lead lender or equity partner.
• Los Azules has secured an environmental impact declaration (EIA) approval; its feasibility study is expected by October 2025, with construction slated after final engineering and financing are in place.

Key Details

• Collaboration Scope: Integration of IFC’s Performance Standards on Environmental and Social Sustainability into the design and operations of Los Azules.
• Financing Implication: The ESG alignment is intended to satisfy criteria for future international project financing, including potential debt facilities and equity investment from IFC.
• Project Status:
• Located in San Juan Province, Argentina – one of the world’s largest undeveloped copper deposits.
• Environmental Impact Declaration (EIA) approved.
• Feasibility study completion targeted for October 2025.
• Application submitted for Argentina’s Large Investment Incentive Regime (RIGI).
• Strategic Timeline: Upon final engineering and secured financing, Los Azules will move to construction phase.
• Economic Highlights (from prior PEA): After‑tax NPV of US$2.7 billion (8% discount) at $3.75/lb Cu; 27‑year mine life; 10.9 bn lb indicated and 26.7 bn lb inferred copper resources.
• Quotes:
• Manuela Adl, IFC Senior Country Manager for Argentina – highlighted the collaboration’s role in aligning with performance standards and paving the way for international financing.
• Rob McEwen, Chairman & Chief Owner of McEwen Inc. – called the partnership a “game‑changer” that could position IFC as a lead lender/equity partner.
• Michael Meding, VP & GM of McEwen Copper – emphasized ESG integration and a solid financing framework to boost investor appeal.

Notable Quotes

• “This IFC collaboration is a game‑changer for Los Azules — it will help us align with top‑tier sustainability standards while paving the way for IFC as a potential lead lender and equity partner, driving value for shareholders and Argentina alike.” – Rob McEwen
• “We’re excited to collaborate with IFC experts to embed IFC’s performance standards into our design and operations. This pro‑active ESG integration, paired with a solid financing framework, bolsters Los Azules’s path to success and elevates its appeal to global investors.” – Michael Meding