TNR Gold royalty project Los Azules advances as McEwen Copper secures $240M term loan

TNR Gold royalty project Los Azules advances as McEwen Copper secures $240M term loan

Thu, September 10, 2026 at 4:31 PM GMT+3 3 min read

TNR Gold Corp (TSX-V:TNR, FRA:TNW, OTC:TRRXF) said Thursday that McEwen Copper Inc. has closed a $240 million senior secured four-year term loan to advance the Los Azules copper, gold and silver project in San Juan, Argentina, a project on which TNR holds a 0.4% net smelter returns royalty.

McEwen Copper, a subsidiary of McEwen Inc, will use the loan proceeds to continue advancing engineering and early works at Los Azules, as well as for general corporate purposes.

A final investment decision and full project financing are expected in mid-2027, with commercial copper cathode production targeted for 2030, subject to project financing and customary approvals.

Work at Los Azules continues to advance toward a final investment decision, according to a McEwen press release. The 2025-2026 field campaign was completed with more than 5,600 meters of drilling, and geotechnical results were better than expected, which will improve the open pit design as mine planning advances. Condemnation drilling confirmed the suitability of the planned location for the North-East rock storage facility.

Engineering for the final investment decision is ahead of plan. Engineering for the key process equipment packages, including solvent extraction/electrowinning, sulfuric acid and crushing, has been awarded to Metso. The mining fleet tender is in final evaluation, and selection of the EPCM contractor is expected by the fourth quarter of 2026.

TNR Gold's NSR royalty, of which 0.04% of the 0.4% is held on behalf of a shareholder, forms part of a broader portfolio that provides diversified exposure to lithium, copper, gold and silver. The portfolio includes a 1.5% net smelter return royalty at Mariana Lithium in Argentina, a 7% net profits royalty on the Batidero I and II properties at Josemaria in Argentina, and a 90% interest in the Shotgun Gold project in Alaska.

TNR Gold said its strategy has delivered a 775% total shareholder return over five years, compared with 161% for the equal-weighted royalty peer group, 252% for the market-cap-weighted royalty peer group and 207% for the VanEck Junior Gold Miners ETF. The company has attracted Altius Minerals as a major royalty investor.

"We are pleased that McEwen Copper has reached this milestone following the release of the feasibility study and securing of an environmental permit for the construction and operation of Los Azules," Kirill Klip, TNR Gold's CEO, said.

"The collaboration between McEwen Copper and International Finance Corporation (IFC), and admission to the Argentina Regime of Incentives for Investment (RIGI) could move the Los Azules copper project development closer to a construction decision."

Klip noted that TNR Gold does not have to contribute any capital for the development of Los Azules. "The essence of our business model is to have industry leaders like McEwen as operators on the projects that will potentially generate royalty cashflows to contribute significant value for our shareholders."