MPH advises Centaurus on Jaguar strategic offtake and US$40M equity financing arrangements

MPH has acted for longstanding client Centaurus Metals Limited in relation to the drafting and negotiation of strategic nickel offtake and share subscription arrangements with key industry players Glencore and CNGR. The Offtake Agreements collectively relate to the supply of 40,000dmt of nickel concentrate per annum from Centaurus’ flagship Jaguar nickel project in Brazil and, together with the additional 20,000dmt per annum in respect of which Centaurus and Glencore entered into a separate Offtake Agreement earlier this year (which MPH also assisted with), cover 100% of expected production from Jaguar over the first 5 years of mining operations. In addition, under the Share Subscription Agreements, Glencore and CNGR will become key strategic equity holders in Centaurus, having each agreed to subscribe for US$20M worth of shares at a premium to market price. The offtake and subscription arrangements form an important part of Centaurus’ overall funding strategy as it moves towards a Final Investment Decision for Jaguar, in respect of which MPH continues to advise the company on various associated workstreams.