Tungsten West (AIM:TUN) has entered a binding US$25m Short‑Term Loan Facility with an entity controlled by Gregory Coffey to fund the Project up to the first phase restart of fines gravity processing expected in Q3 2026.
The unsecured, 366‑day loan carries interest of SOFR + 4.5% (approximately 8% per annum), increases by 1% per quarter, is repayable at any time without penalty, and will be partially repaid from a larger Facility of up to US$85m for which final‑stage due diligence is complete and definitive documents are being prepared.
The company says its board, having consulted Strand Hanson as nominated adviser, considers the terms fair and reasonable for shareholders, and the update was released on 21 May.
The bridge supports ongoing restart works at Hemerdon, with fines gravity commissioning expected in Q3 2026, coarse gravity commissioning in Q4 2026 and full project commissioning in Q1 2027 to enable ramp to nameplate 500t per hour during 2027, and includes an agreement with Duo Operations for mobile crushing and a planned intake of c.120 staff by end of June.
Tungsten concentrate pricing, the company adds, remains firm with the European APT index above US$3,000 per metric tonne unit and offtake discussions well progressed.
"We are thankful for the support of our shareholder, which will allow us to maintain our rapid development pace and deliver tungsten and tin concentrate into the market from Q3 2026," Jeff Court, CEO, said.
The next material milestone is execution and close of the up-to-US$85m Facility, which will determine the longer‑term debt profile and whether the bridge is repaid.
