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"In addition to the €312.5 million project financing package recently announced, signing this non-binding indicative operating lease financing term sheet with Macquarie is another significant milestone for the company as it moves into the construction phase of the Muga mine," Highfield's managing director and CEO Ignacio Salazar said.
The arrangement remains subject to Macquarie completing its final due diligence and all requisite approvals, it added.
Highfield announced the start of construct at the Muga mine on June 30.
"We are receiving significant endorsement from leading international banks in the financing process in this time of extreme geopolitical instability around potash supply, especially in Europe," Salazar said at the time.
The project area covers about 46 kilometres2 in the prpvinces of Navarra and Aragon. It is a two-phase project which is intended to produce a total of 1 million tones per annum of muriate of potash.
It has an NPV8% of €1.89 billion, IRR of 25% and EBITDA of €400 million per annum at full production.
Highfield's share price was seen trading at A$0.96 (US$0.65) on 4 July, which is up by 7% from the previous session. The company has a market capitalization of A$327.98 million.
