Cape Lambert Resources Ltd. executed a A$7.5 million finance facility with a fund of Magna Management LLC to accelerate the development of its Kipushi Tailings cobalt-copper project in the Democratic Republic of the Congo through the issue of convertible securities in the company.

The company said Dec. 17 that the funding will ensure project development while it retains the flexibility to negotiate an off-take agreement with a strategic partner, which may result in alternative funding such as a cash injection into the project.

An initial amount of A$750,000 is available for drawdown within five days, A$750,000 will be available pending the investor's ability to trade the company's shares on the Frankfurt Stock Exchange, and A$6 million will be available in tranches upon the company meeting key milestones related to the project.