Queensland Pacific Metals

K-SURE issues Expression of Interest Letter for support of the TECH Project

Queensland Pacific Metals Ltd (ASX:QPM) (“QPM” or “the Company”) is pleased to announce conditional finance support from K-SURE for the provision of debt funding for QPM’s wholly owned TECH Project.


Highlights
  • Conditional finance support received from Korea Trade Insurance Corporation (“K-SURE”) for the provision of debt funding for the TECH Project.
  • The support from K-SURE follows on from the Memorandum of Understanding (“MOU”) on Cooperation in Critical Minerals Supply Chains signed between Republic of Korea and Australia in December 2021 and the MOU to undertake joint financings signed between K-SURE and Export Finance Australia (“EFA”) in February 2022.
  • The support from K-SURE represents ongoing development of the potential lending syndicate for the TECH Project, with QPM having completed the Strategic Assessment phase of the Northern Australian Infrastructure Facility (“NAIF”) application process and having previously received a commitment letter for conditional debt funding for A$250m from EFA.
  • Formal appointment of ANZ as Export Credit Agency (“ECA”) Co-ordinator, supporting KPMG in their role as Debt advisor

In December 2021, a MOU was entered into between the governments of the Republic of Korea and Australia regarding cooperation in Critical Minerals Supply Chains. Following this, the reciprocal Export Credit Agencies of both countries (K-SURE and EFA) entered into an MOU to strengthen their capacity to work together and undertake joint financings.

With Korean offtakers and shareholders, LG Energy Solution and POSCO, K-SURE is a logical target for QPM as part of its debt financing syndicate for the TECH Project. The formal receipt of an Expression of Interest Letter from K-SURE demonstrates their strong interest in providing debt funding for the TECH Project.

K-SURE has indicated that its partication in the debt funding of the TECH Project will be in line with the terms and conditions of EFA’s participation. The letter received from K-SURE does not constitute a commitment or an offer and any provision of debt funding will be subject to due diligence and typical terms and conditions.

QPM has also appointed ANZ as ECA Co-ordinator, working closely with existing debt advisor KPMG. ANZ has an excellent relationship with K-SURE and other ECAs around the world, in particular those which QPM are targeting and have received eligibility letters from. ANZ has also previously provided QPM with a letter of interest for the provision of debt funding.

QPM Managing Director Dr Stephen Grocott commented,

“The increasing recognition from governments around the world, in particular the Korean and Australian governments, regarding the importance of critical minerals supply chains will be an important factor in QPM achieving its goal of becoming a sustainable producer of battery metals. The support we have received from government backed lenders to date has been tremendous.

I would like to express my sincere gratitude to Mr Baek Seung Dal and Mr Steve Kang for their formal expression of interest in the TECH Project and look forward to strengthening our relationship with K-SURE.”

About K-SURE

K-SURE is the official export credit agency of South Korea under the Ministry of Trade, Industry and Energy. K-SURE provides debt financing to international projects where there is participation from Korean companies.

This announcement has been authorised for release by Stephen Grocott

Click here for the full ASX Release

This article includes content from Queensland Pacific Metals Ltd, licensed for the purpose of publishing on Investing News Australia. This article does not constitute financial product advice. It is your responsibility to perform proper due diligence before acting upon any information provided here. Please refer to our full disclaimer here.

QPM:AU
The Conversation (0)
Element 25 Limited

Element 25 Signs US$85M Supply Deal with GM for Manganese Sulphate

Element 25 (ASX:E25) has signed a deal with General Motors (NYSE:GM) to supply the car manufacturer 32,500 tonnes of manganese sulphate annually, according to a news report by Reuters.

Keep reading...Show less
Canadian flag draped over "Ni" symbol and stock chart.

Top 5 Canadian Nickel Stocks of 2025

Nickel prices have experienced volatility in the past few years due to supply and demand uncertainty.

This trend has continued into 2025, and is expected to remain in place for the year. While this environment has been tough, some nickel stocks are still thriving amid the ongoing uncertainty.

Supply is expected to outflank demand over the short term, but the longer-term outlook for the metal is strong. Demand from the electric vehicle (EV) industry is one reason nickel's outlook looks bright further into the future.

Keep reading...Show less
Diagonal rows of nickel rolls.

Top 3 ASX Nickel Stocks of 2025

With its diverse applications in both technology and industry, nickel is a metal that will never go out of style.

Nickel is commonly used in alloys to create stainless steel, but more recently has found a modern use: batteries. As the electric vehicle trend gains steam, the base metal is in high demand for its role in lithium-ion batteries.

However, nickel has encountered much volatility in the past few years.

Keep reading...Show less
Seesaw diagram with "demand" outweighing "supply" on a chalkboard.

Nickel Price Update: Q2 2025 in Review

After spiking above US$20,000 per metric ton (MT) in May 2024, nickel prices have experienced a downward trend, mainly remaining in the US$15,000 to US$16,000 range.

Indonesia's elevated production levels have been a primary factor contributing to these low prices, as sustained high output continues to oversupply the market. The supply surplus has had a knock-on effect, putting pressure on western producers who have been forced to slash their production to maintain profitability.

Elevated output coincides with electric vehicle (EV) demand, which is under threat as market uptake has slowed, and policy changes in the United States are expected to increase costs for consumers and lower sentiment for the vehicles.

Keep reading...Show less
Closeup of periodic table highlighting nickel with a nickel block on its symbol.

South32 Announces Up to US$100 Million Sale of Cerro Matoso, Shifts Focus to Critical Minerals

South32 (ASX:S32,OTC Pink:SHTLF) said on Monday (July 7) that it has agreed to sell the Cerro Matoso nickel mine in Colombia to a subsidiary of CoreX Holding following recent changes in the nickel market.

South32 now plans to focus on critical minerals, describing its flagship Hermosa project in Patagonia as a “next generation mine.” Hermosa hosts the zinc-lead-silver Taylor sulphide deposit, and the zinc-manganese-silver Clark oxide deposit.

"The Transaction is consistent with our strategy and will further streamline our portfolio toward higher margin businesses in minerals and metals critical to the world’s energy transition,” said South32 CEO Graham Kerr.

Keep reading...Show less

Latest Press Releases

Related News

×