07:29 AM EDT, 06/24/2024 (MT Newswires) -- Canada Nickel ( CNIKF ) said Monday that it arranged a US$15 million loan facility with Auramet, with closing expected July 9.

The loan will be due Jan. 9, 2025, and will carry an interest rate of 1.00% per month.

Canada Nickel ( CNIKF ) plans to use the funds for working capital purposes. The company is advancing the Crawford nickel-cobalt sulfide project in Ontario, where a construction decision is expected in the middle of next year.

The facility "will allow us to remain well-funded to continue to advance our permitting, engineering, and financing activities," Canada Nickel ( CNIKF ) CEO Mark Selby said.

Canada Nickel ( CNIKF ) said it expects to complete discussions for a offtake agreement before the end of the year.

The company's share price rose 2.5% on Friday to $1.24.