Ivanhoe Electric (TSX:IE) has received a letter of interest from the Export-Import Bank of the US (EXIM) for up to $825 million in debt financing for its Santa Cruz Copper Project in Arizona. The financing aligns with EXIM’s ‘Make More in America’ initiative, designed to enhance US competitiveness and reduce reliance on foreign supply chains, particularly concerning China. The Santa Cruz Project aims to increase the nation’s supply of critical minerals and fortify national security via domestic resource production. Ivanhoe anticipates delivering a Preliminary Feasibility Study (PFS) for the project in June 2025, which will be used to support further financing activities. Permitting and detailed engineering work are being aggressively advanced throughout 2025, with initial construction expected to begin in the first half of 2026.
Executive Chairman Robert Friedland emphasized the importance of the Santa Cruz Project in expanding domestic copper production, crucial for supporting the growth of electric transmission, transportation infrastructure, national defense, and emerging technologies. CEO Taylor Melvin noted the project’s unique position to meet rising US demand for domestically sourced copper, given its advanced stage, location on private land, 100% US ownership, and capacity to produce pure copper cathode on-site. The US Department of Energy reports that over 80% of the nation’s critical minerals are sourced from foreign countries, highlighting the strategic importance of projects like Santa Cruz in achieving greater self-reliance. EXIM Bank’s potential lending commitment is contingent upon meeting specific criteria and authorization processes.
