Orocobre Limited (TSX:ORL,ASX:ORE) announced that along with its joint venture partner, Toyota Tsusho Corporation, it has executed the loan documentation for the project financing for its Olaroz lithium project in Argentina. The companies will receive financing from Mizuho Corporate Bank Ltd for a value of approximately US$192 million.

As quoted in the press release, the terms of the financing are as follows:

Parameters

Values

Maximum Facility

US$191.9 million

Equity by Sales de Jujuy

US$82.8 million

Maximum Debt : Equity Ratio

70% : 30%

Construction Cost

US$229.1 million including $22 million contingency

Primary Debt Facility

US$146.3 million

Additional facilities

US$45.6 million

Term

10 years

Grace Period

2 years

Dividend Payments

Borrower may pay dividends bi-annually after meeting debt service obligations to Mizuho

Click here to view the full press release.