Blencowe Resources (AIM: BRES) has announced the receipt of a fifth funding tranche from the U.S. International Development Finance Corporation (DFC), amounting to US$500,000.
Q&A with Blencowe Resources CEO, Mike Ralston
This latest disbursement brings the total received under the DFC’s US$5 million technical assistance grant to US$4 million.
The non-dilutive grant carries no repayment obligations, offering critical financial support without impacting shareholder equity. Once key milestones in the definitive feasibility study (DFS) for the Orom-Cross graphite project are achieved, the remaining US$1 million is expected in two further tranches—US$750,000 and US$250,000. The next tranche is anticipated in the near term.
Payments had been temporarily paused due to a 90-day global review by the DFC following a change in the U.S. administration. The resumption of funding signals renewed confidence from the DFC in Blencowe and its flagship Orom-Cross project in Uganda.
In parallel, discussions are ongoing regarding potential cornerstone debt financing from the DFC to support full project implementation.
To secure the latest tranche, Blencowe met three key milestones: completion of micronisation studies, approval of an updated environmental and social impact assessment, and successful completion of water studies, including the installation of water bores at the site.
Executive Chairman Cameron Pearce commented: “We have recently had to navigate a degree of uncertainty following the DFC’s pause in funding due to changes in the U.S. government. The resumption of grant payments at this critical phase of the DFS is a strong vote of confidence and underlines the U.S. government’s continued support.”
He added:
“Orom-Cross continues to demonstrate its potential as a world-class graphite project with robust fundamentals—low capital and operating costs, and high-quality outputs from bulk small flake concentrate to battery-grade 99.95% uncoated SPG. This quality is drawing interest from Tier-1 buyers, and we are advancing further offtake agreements.”
