Atico Mining Secured $111.4 Million Financing Package
The company will use the capital to fund project construction and pay down existing debt obligations.
Updated on Sept. 29, 2026 in Corporate Finance
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Atico Mining Corporation has finalized a $111.4 million financing deal with Trafigura to support the development of its La Plata project in Ecuador. The package includes a $95 million secured credit facility and a $16.4 million convertible debenture.
Why it matters
This capital injection provides the necessary runway to advance construction while simultaneously restructuring the company's balance sheet through debt-for-equity swaps. It highlights the strategic use of commodity-linked project finance to manage liquidity in large-scale mining operations.
Atico secured a $95 million facility and $16.4 million in convertible debt, while issuing 16,149,870 shares to settle $2.5 million in existing liabilities. Ventum Financial Corp. will receive a 0.75% advisory fee on the credit facility and 3.5% on the debenture.
The players
Atico Mining Corporation
A mining company focused on the development and operation of mineral projects in Latin America.
Trafigura
A multinational commodity trading firm that provides supply chain management and trade finance services.
Dundee Corporation
A Canadian investment company with a long-standing portfolio in the mining and resource sectors.
Ventum Financial Corp.
A financial services firm providing advisory and capital market support to corporate clients.
The details
The $95 million project facility carries an interest rate of Adjusted Term SOFR plus 7.5% per annum with a seven-year term. Proceeds from the $16.4 million convertible debenture, which has a conversion price of $0.22 per share, will be used to pay off existing debt owed to both Trafigura and Dundee Corporation. Additionally, the company is settling $2.5 million in debt by issuing shares at $0.1548 per share.
Timeline
December 16, 2025: Date the Dundee Corporation debenture was originally issued.
September 28, 2026: Reference date used for the share price volume-weighted average price calculation.
September 29, 2026: Official announcement date of the financing package.
October 13, 2026: Expected closing date for the private placement and debt settlement.
March 31, 2027: Deadline trigger for the project finance drawdown window.
Market Landscape
This financing follows the industry-wide transition from legacy interbank rates to the SOFR benchmark for commercial project lending. It marks a standard structural approach for junior miners to secure liquidity by aligning project milestones with institutional credit facility terms.
Operators should monitor the interest rate environment as Adjusted Term SOFR-linked debt becomes the primary benchmark for project facilities. Ensure your finance team maintains updated cost-of-capital models to account for the impact of variable interest rate debt on long-term cash flows.
The takeaway
Large-scale project development often requires a mix of secured debt and equity conversion to manage immediate leverage. Track your company's SOFR-linked debt and debt-to-equity ratios closely as you negotiate similar financing facilities with commodity partners.
What happens next
The private placement and debt settlement transaction is expected to close on or about October 13, 2026.
Further reading
For more on how companies manage major capital raises, visit our Corporate Finance section.
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