Michigan’s $50M support of copper mine project comes with caveat – by Ian Ross (Northern Ontario Business – April 3, 2024)


Highland Copper on the spot to raise financing for Upper Peninsula mine

The State of Michigan is prepared to give a Vancouver copper company a funding kickstart to support a proposed mine in western Upper Peninsula. The board of the Michigan Strategic Fund has approved a $50-million “performance-based grant” to Highland Copper Company. Final approval still needs to come from the state legislature.

The grant, which comes from a Strategic Site Readiness Program, is specifically intended for mine-related infrastructure development, meaning installing roads, communications and extending power to the site.

The Copperwood project situated at the base of the Keweenaw Peninsula near the southern shore of Lake Superior, an economically stagnate area with a rich copper mining history. The grant comes with conditions. There were concerns from the state about Highland Copper’s ability to raise project financing.

To pocket the funds, the company must secure US$150 million by the end of 2025, according to a published report. The company needs to secure US$425 million to support a construction decision.

For the rest of this article: https://www.northernontariobusiness.com/industry-news/mining/michigans-50m-support-of-copper-mine-project-comes-with-caveat-8533475