Foran and Canada’s Strategic Innovation Fund Sign C$41M Agreement to Advance Critical Minerals Production at McIlvenna Bay
Press Release
Unlocking Additional Low-Cost Financing to Advance the growing McIlvenna Bay Project
Vancouver, BC (January 28, 2025) – Foran Mining Corporation (TSX: FOM) (OTCQX: FMCXF) (“Foran” or the “Company”) is pleased to announce the signing of a contribution agreement (the “Contribution Agreement”) with the Canadian Government under the Government’s Strategic Innovation Fund (“SIF”), for funding of up to C$41,000,000 (the “SIF Funding”). A portion of the SIF Funding will be provided in the form of an unconditional repayable contribution and another portion as a non-repayable contribution. The funding will support expenses related to various technologies that are planned to be employed at Foran’s McIlvenna Bay Project, including battery electric vehicles, water recycling systems, heat recovery systems, and pyrite removal in mine tailings. This latest investment from SIF represents the first such investment targeted towards a copper development project in Canada and is one of the few mining projects to receive SIF funding.
The Honourable François Phillipe-Champagne, Minister of Innovation, Science, and Industry, commented “Our government is committed to a net-zero future for Canada, and this project is precisely the investment we need to secure Canada’s position as a global leader in clean technologies and responsibly sourced mineral products. This investment will help Foran leverage technological innovation to make critical minerals development more sustainable, reduce greenhouse gas emissions and contribute to the economic development of rural, remote and Indigenous communities. It is a win for the planet, communities across the country and all Canadians.”
The Honourable Jonathan Wilkinson, Minister of Energy and Natural Resources, commented “Developing our abundant critical minerals resources in Saskatchewan will drive economic opportunity and create jobs. Foran’s McIlvenna Bay mining project alone will support over 400 jobs and reinforce Saskatchewan’s position as a global mining leader by producing more Canadian copper and zinc to supply our own needs and those of our allies. Canada will continue to be a partner in the development of our critical minerals supply chains, from end to end, in order to drive economic benefits and contribute to a secure future.”
The Honourable Terry Duguid, Minister responsible for Prairies Economic Development Canada commented “Critical minerals are vital to Saskatchewan’s economy and play a key role in driving Canada’s transition to a net-zero economy. Canada has the resources the world needs, and today’s announcement highlights how we can leverage these strengths to build a prosperous Prairie economy—one that supports resilient businesses and thriving communities.”
Dan Myerson, Foran’s Executive Chairman and CEO, commented: “We are honored to secure additional support from the Government of Canada to advance development of McIlvenna Bay towards production. This contribution reinforces Foran’s commitment to building sustainable mining practices by integrating innovative technologies such as battery-electric vehicles, water recycling systems, heat recovery systems, and pyrite removal in mine tailings into our operations. It is a testament to the strength of our asset and team, positioning Foran to become a source of Canadian critical mineral production. It also supports sustainable resource development, creating jobs and promoting responsible mining practices in Saskatchewan. Unlocking this low-cost capital reflects the strength of McIlvenna Bay and highlights the critical need for upstream projects to grow Canada’s domestic supply of copper.”
The Strategic Innovation Fund is managed by Innovation, Science and Economic Development Canada (“ISED”) and plays a key role in providing support for innovative projects in Canada across all sectors. SIF fosters the development of Canadian businesses that are looking to invest, grow and create jobs for Canadians. SIF was created in 2017 and incorporates several legacy programs already administered by ISED. The 2023 Canadian Federal Budget announced that the SIF will focus on clean technologies, critical minerals, and industrial transformation projects. In addition to these priorities, the program remains committed to attracting large-scale investments to Canada, accelerating the growth of innovative Canadian businesses and creating jobs across all sectors of the economy.
SIF Funding Details
⦁ The SIF Funding consists of draws up to a total of C$41 million or 15.6% of certain eligible costs incurred prior to December 31, 2026, whichever is lower.
⦁ The SIF Funding is based on eligible costs of $263 million of which approximately $226 million are within its Phase 1 Capital Budget as disclosed on July 15, 2024.
⦁ Draws on the Contribution Agreement are made as eligible costs relating to investments in battery-electric underground mining equipment and remote-operations control centre, on-demand ventilation and heat recovery system integration technologies, water recycling systems, and pyrite removal technologies are incurred by Foran.
⦁ The SIF contribution is partially repayable.
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FOR ADDITIONAL INFORMATION & MEDIA ENQUIRIES:
Foran:
Jonathan French, CFA
VP, Capital Markets & External Affairs
409 Granville Street, Suite 904
Vancouver, BC, Canada, V6C 1T2
ir@foranmining.com
+1 (604) 488-0008
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