Generation Mining Secures CAD $200 Million Subordinated Debt Commitment from Canada Infrastructure Bank

Executive Summary

• Generation Mining Limited announced that the Canada Infrastructure Bank (CIB) has received internal credit approval for a CAD $200 million subordinated debt facility to support the construction and development of the Marathon Copper-Palladium Project.
• This commitment brings the company's total secured project financing to approximately CAD $969 million, combining senior debt, a metals streaming agreement, and equipment leasing facilities.
• The company expects to commence construction in the second half of 2026, pending final documentation, intercreditor agreements, and successful negotiations with surety providers and equity investors.

Key Details

• CIB Facility Structure: CAD $200 million total, split into a CAD $110 million subordinated debt facility for development/construction costs and a CAD $90 million subordinated standby facility for project cost overruns.
• Total Committed Financing: ~CAD $969 million, comprising:
• Senior Facility: US$310 million (~CAD $424 million) from Export Development Canada, ING Capital LLC, and Société Générale.
• Metals Streaming Agreement: CAD $200 million with Wheaton Precious Metals.
• Equipment Leasing Facilities: ~CAD $145 million.
• Strategic Context: Marks the CIB's first investment in Ontario's critical minerals sector, validating the project's economics and its strategic importance to Canada's critical minerals supply chain and the energy transition.
• Conditions Precedent: Subject to completion of final documentation, including a comprehensive intercreditor agreement and satisfaction of customary project finance terms and a fully funded project construction package.
• Advisors: Endeavour Financial acting as financing advisor; A&O Shearman and Cassels acting as legal advisor.
• Project Economics & Production (Feasibility Study, effective Nov 1, 2024): NPV of C$1.07 billion (6% discount rate), IRR of 28%, 1.9-year payback. Over a 13-year mine life, expected production includes ~2,161,000 oz Pd, 532M lbs Cu, 488,000 oz Pt, 160,000 oz Au, and 3,051,000 oz Ag.

Notable Quotes

• "Securing a commitment from the Canada Infrastructure Bank is another major step forward in assembling the full financing package for the Marathon Project," said Jamie Levy, President and Chief Executive Officer. "The CIB's mandate to catalyze private-sector investment in critical infrastructure makes it a natural partner for Generation Mining. The commitment further validates the strength of the Marathon Project's economics, its strategic importance and its significance as a future North American producer of copper and palladium — two metals essential to the energy transition. With approximately CAD $969 million of project financing now committed, we are firmly on track toward a construction decision."