Alpha HPA (ASX:A4N) has reached agreement completion on a $400 million debt financing package to support stage two of the HPA First project in Gladstone, Queensland. The funding is structured as a recourse project finance transaction and is jointly provided by the Northern Australian Infrastructure Facility (NAIF) and Export Finance Australia (EFA).

This debt package is split between $320 million of construction facilities and $80 million of cost overrun facilities. The construction facility has a maturity of 11 years from financial close, while the cost overrun facility has a maturity of 5 years. The agreement follows Alpha’s announcement of these terms on April 17, 2024.

world’s largest

Alpha has already begun construction on what will be the world’s largest single-site facility for producing high-purity aluminum (HPA) materials. Once completed, the refinery will occupy an area of ​​10 hectares and will be able to produce more than 10,000 tons of HPA products annually.

Stage 2 represents the commercial-scale deployment of Alpha’s proprietary solvent extraction and purification technology to produce 4N (99.99% pure) and 5N (99.999% pure) aluminum materials. These materials are used in high-tech markets such as semiconductors, lithium-ion batteries, and LED lighting.

Rimas Kaiulaitis, Managing Director of Alpha, said: We appreciate the efforts of the EFA and NAIF teams and look forward to the completion of project construction. ”

The stock closed yesterday at $0.86, an increase of 4.22%.