Skeena Resources Limited announced a $750 million senior secured notes offering due 2031, fully guaranteed by subsidiaries tied to the Eskay Creek project and secured by a first‑priority lien on the company’s property, including equity interests and project assets.
The proceeds will be allocated as follows: $184 million will buy down the existing $200 million gold‑stream agreement, cutting the stream percentage by 66.67 %; $100 million will fund an interest reserve for the first three semi‑annual interest payments; the remaining $466 million will support Eskay Creek construction, related fees, and general corporate purposes.
In addition to the new notes, Skeena will cancel its $350 million senior secured term loan and cost‑overrun facility, thereby reducing debt and improving the balance sheet. The refinancing also lowers the company’s future operating margin exposure by reducing the gold‑stream obligation, which is a key driver of cash‑flow volatility.
The company’s updated construction budget for Eskay Creek is $659 million, an increase of $99 million from the 2023 feasibility estimate. As of February 28 2026, the project is 49 % complete and 66 % of total costs are contractually committed, underscoring the project’s progress and the importance of the new financing for continued development.
S&P Global Ratings assigned Skeena a CCC+ issuer‑credit rating with a stable outlook, and the new notes are rated B‑. The ratings reflect the company’s lack of operating mines and the execution risk inherent in a large development project, but they also signal that the market views the financing as a step toward de‑risking the project and improving capital structure.
The announcement was positively received by investors, reflecting confidence in the financing strategy. President & CEO Randy Reichert noted that beginning development activities before final permits has reduced timeline risk and mitigated inflationary impacts, reinforcing the company’s focus on accelerating production toward the Q2 2027 target.
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