MANILA -- The Maharlika Investment Corp will provide a $76.4 million (P4.425 billion) loan to a gold and copper mining project in Kalinga province, the Philippines' sovereign wealth fund said on Tuesday.

The MIC said it has signed a binding term sheet for a loan to Makilala Mining Company, Inc. (Makilala Mining) to initiate early development works for the Maalinao-Caigutan-Biyog Copper-Gold Project (MCB Project) in the Cordillera province.

The loan will fund a feasibility study, road construction, and training for members of the Balatoc Indigenous Cultural Community. The money will also allow Makilala Mining to meet the financial capability requirements under its Mineral Production Sharing Agreement with the Philippine Government, MIC said.

MIC said its support for the project went through a due diligence review of its technical, financial, legal, environmental, and socio-economic aspects. MIC President and CEO Rafael D. Consing, Jr. said the mining project is in line with their mandate to drive economic growth and sustainable development.

“Our investment decision reflects a shared commitment to the sustainable, inclusive, and regenerative development of the MCB Project,” Consing said.

Among those who witnessed the signing of the deal were Makilala Mining President Atty. Julito R. Sarmiento and Australian Ambassador to the Philippines HK Yu.

“I am thrilled that Maharlika’s mining sector investment is with an Australian-Filipino mining company, leading the renaissance of the Philippine mining industry. This project sends a very strong signal to the world that the Philippines is open for business,” Yu said.

MIC said the loan will be disbursed in tranches, with an initial $10 million earmarked for immediate project commencement. The agreement also includes provisions ensuring MIC’s oversight and participation in key project management decisions, the sovereign wealth fund said. Talks are also ongoing about additional funding for the MCB Project.

The MIC earlier said it was also investing in the country's power grid operator. The sovereign wealth fund got initial funding from the country's two largest state-owned banks, which the International Monetary Fund said now need to be recapitalized.