Ecora, Moxico Resources ink US $50M deal for Mimbula mine in Zambia
Ecora Resources has finalized a $50 million copper streaming agreement with Moxico Resources to support production at Zambia’s Mimbula copper mine. This agreement aligns with Ecora’s goal of expanding its copper-focused portfolio while ensuring long-term revenue growth.
Under the terms of the agreement, the copper stream will apply to Mimbula’s current 11-year life of mine (LOM), with potential for extension. Ecora will receive copper deliveries on a quarterly basis, paying Moxico 30% of the quarterly average copper price on the London Metal Exchange for the metal received.
Once Ecora has obtained a total of 9,150 tonnes of copper—expected within seven to eight years—its entitlement will be reduced to 1% of copper cathode production for the remaining life of the mine.
To fund this transaction, Ecora has utilized $30 million from its revolving credit facility’s $75 million accordion feature, bringing its committed borrowing capacity to $180 million, with approximately $55 million still accessible. The deal is structured to mitigate production ramp-up risks and is projected to break even within six to seven years.
Mimbula mine
Mimbula, located in Zambia’s Copperbelt Province, began copper production in late 2022 and operates at low costs, producing high-grade London Metal Exchange cathodes. The mine produced 14,000 tonnes of copper in 2024 and is undergoing a phase two expansion aimed at increasing annual output to approximately 56,000 tonnes by mid-2026.
Ecora CEO Marc Bishop Lafleche highlighted the partnership as a key step in reinforcing copper as a core asset within the company’s portfolio. He noted that Mimbula presents an attractive investment opportunity due to its high-quality ore, low production costs, and strong management team.
The proceeds from this streaming agreement will help fund Mimbula’s expansion and other corporate needs. The transaction is expected to be finalized soon. Additionally, Moxico Resources’ subsidiary, Atlantic Metals, signed an agreement last year with Latin Metals to acquire a 75% stake in two copper exploration projects in Argentina.
