Orvana Minerals’ Bolivian subsidiary EMIPA has finalized a US$25 million secured prepayment facility and long-term offtake agreements with commodities giant Trafigura.
Orvana Minerals Corp. announced a critical financing and sales agreement that solidifies the planned restart of its Don Mario Operation in Bolivia. The company’s subsidiary, Empresa Minera Paitití, S.A. (EMIPA), has closed a US$25 million secured prepayment facility and entered into long-term offtake agreements with global commodity trader Trafigura Pte. Ltd., one of the world's largest private metals traders.
The Prepayment Facility is a major financial milestone, as its proceeds will fully cover the remaining capital expenditure required to complete the expansion of the Don Mario processing plant. According to the company's update, 69% of the forecasted project CAPEX had already been disbursed as of the end of October 2025, with construction on track for completion by the year-end. This new financing ensures the project will maintain its timeline, with commissioning and start-up expected in early 2026.
The secured prepayment facility from Trafigura is structured as a loan with a 13-month term, which includes an initial seven-month interest-only period. The loan bears interest at the Secured Overnight Financing Rate (SOFR) plus 8% per annum and will be repaid in equal monthly instalments over the final six months. EMIPA's ordinary shares and certain other assets are pledged as security for the facility.
The accompanying Offtake Agreement secures a buyer for the Don Mario operation’s output from its oxide stockpile for the remainder of its mine life. EMIPA has committed to selling 100% of its future production of copper cathodes and doré bars (a semi-pure alloy of gold and silver typically produced at the mine site) to Trafigura. This ensures a guaranteed market for the metals, with pricing for the copper and doré production to be determined by reference to the London Metal Exchange (LME) and the London Bullion Market Association (LBMA), respectively.
Juan Gavidia, CEO of Orvana, emphasized the importance of the transaction: "Securing this prepayment facility and offtake arrangement with Trafigura is a significant milestone in the restart of Don Mario. The financing allows us to complete plant construction and provides marketing certainty for our copper cathode and doré production."
EMIPA, which became a registered bond issuer on the Bolivian stock market in September 2023, is currently conducting on-site pilot testing to finalize recovery estimates for the Don Mario project. Orvana has stated that updated production and cost guidance will be released once this testing phase is complete. This comprehensive agreement with a major global trader dramatically derisks the Don Mario restart, moving Orvana closer to becoming a multi-mine producer.
