Copper Company Seeks Project Funds

Canadian copper processor Amerigo Resources, through its Chilean subsidiary Minera Valle Central, is working with BBVA to structure loan financing for a $140m plant expansion, it says. The expansion will be majority funded by the loan, and the remainder by internal cash flow, say people familiar with the process. Syndication is expected early next year, as the copper tailings processor is still awaiting the necessary environmental approvals that will allow it to move ahead. Banks have already expressed interest in being part of the loan transaction, which is likely to have a term of 7-10 years with early repayment provisions, according to a person familiar with the matter.