Ivanhoe Electric Receives Preliminary Project Letter from the Export-Import Bank of the United States for $1.1 Billion in Potential Debt Financing for the Santa Cruz Copper Project

Ivanhoe Electric Inc. has received a Preliminary Project Letter from the U.S. Export-Import Bank, signaling potential debt financing of $1.1 billion for the Santa Cruz Copper Project. This figure represents an increase from the $825 million Letter of Interest issued in April 2025. The Preliminary Project Letter completes the bank's preliminary due diligence but does not constitute a binding financing commitment, with final U.S. Export-Import Bank Board consideration anticipated in spring 2027.

An updated Preliminary Feasibility Study is expected in September 2026, incorporating the recently acquired Robbins Crossover XRE Tunnel Boring Machine and material handling systems. The project remains positioned as a modern American copper mine producing 99.99% pure cathode via heap leach and SX/EW, without smelting.

Ivanhoe Electric Inc. (IE) issued a financing update regarding the $1.24 billion Santa Cruz project, highlighting a potential increase in EXIM debt from $825 million to $1.1 billion. This adjustment reduces the equity funding gap, though the Pre-Loan Proposal (PPL) remains a non-binding expression of interest rather than a loan commitment.

The market had already priced in EXIM involvement following the February 2026 "Project Vault" announcement. The stock has declined approximately 40% from its January peak, reflecting broader macro headwinds and execution timelines.

While the update confirms continued EXIM engagement, it does not close the financing gap nor guarantee spring 2027 board approval. Permitting, tunnel boring machine (TBM) delivery, and construction execution remain the primary near-term risks.

Ivanhoe Electric Inc. (IE) manages a diverse portfolio of assets, anchored by its flagship Santa Cruz Copper Project in Arizona. This advanced-stage development sits on 5,975 acres of private land, holding mineral and water rights within the state’s industrial corridor, which provides access to rail, power, and highway infrastructure.

In Montana, the company’s Hog Heaven Project is currently in the exploration phase. Following completed step-out drilling, the 2026 program is targeted at identifying a second porphyry system.

Internationally, Ivanhoe holds a 50/50 joint venture with Maaden covering approximately 50,000 km² of the Arabian Shield in Saudi Arabia. The company has completed roughly 1,570 km² of Typhoon™ surveys within this area. In the southwestern United States, Ivanhoe has entered an exploration alliance with BHP, granting 50/50 ownership for any joint ventures formed. BHP has committed $15 million to fund this exploration.

In Chile, Ivanhoe has established a three-year collaboration with SQM. SQM will fund $9 million to explore 2,002 km² of caliche-covered concessions. Ivanhoe retains an option to form a 50/50 joint venture upon discovering a qualifying deposit exceeding 1 million tonnes of copper.

Additionally, the company is in the advanced design phase for VRB USA, a grid-scale vanadium flow battery assembly facility located in Arizona.