Canadian Copper secures up to $96M to develop New Brunswick complex

Canadian Copper (CSE: CCI) has secured up to $96 million to more than cover initial capital costs for the Murray Brook project in New Brunswick as well as the buildout of the nearby Caribou processing plant.

OR Royalties (TSX: OR) and Ocean Partners UK said Tuesday they have committed to funding the copper project which would cost $64 million to build, according to a July 2025 preliminary economic assessment. Including the processing plant 10km away forms the larger Bathurst mining complex. 

The funding represents “a significant de-risking milestone” for the company, according to CEO Simon Quick. The proceeds would cover the project’s capital expenditure requirements, allowing the team to focus on securing the remaining permit approvals. 

Acquired in 2024, Murray Brook is Canadian Copper’s principal asset, and the province’s largest undeveloped volcanogenic massive sulphide project, a central component of its strategy to build a near-term producer. The deposit hosts a resource of 21.1 million measured and indicated tonnes grading 0.45% copper, for 211.7 million lb. of contained metal. The deposit also holds significant zinc resources, as well as gold and silver.

Funding terms

As part of the funding commitment, OR Royalties would provide $38.4 million to Canadian Copper in exchange for a 20% life-of-mine payable silver and gold stream from the Bathurst complex. Ocean Partners, currently a 17% shareholder, would provide up to $48 million in debt funding for all of the complex’s off-take rights.

In addition, both parties have committed to subscribe for Canadian Copper’s common shares for an amount up to of $10.5 million in total, with OR Royalties’ being immediate and Ocean Partners’ at a later date.

OR Royalties’ commitment is for approximately 7.31 million shares priced at 75¢ apiece — a 20% premium over the stock’s previous close — for $5.48 million. This amount, plus a $6.85-million upfront payment for the silver-gold stream, would give Canadian Copper an injection of approximately $12.3 million at closing this month.

Ocean Partners, meanwhile, is expected to either exercise over 12.7 million warrants currently held at 25¢ per share, or make an outright $5-million equity investment. Its project debt to Canadian Copper has a term of 36 months and charges interest at the benchmark rate plus 7.75% per year.

Canadian Copper said the funding package would provide “sufficient working capital” to complete required Bathurst complex work streams, including awarding all material project tenders for this month. It would also provide financial capacity for its near-term development capital requirements, noting that 55% of the total project financing is optional at the company’s discretion.

Shares of Canadian Copper surged by more than a quarter on Tuesday, with the stock closing at 76¢, nearly hitting its all-time high of 82¢. The Toronto-based copper junior has a market capitalization of $145 million.