Orion Minerals (ASX:ORN), through its Prieska Copper Zinc Mine unit, signed a non-binding term sheet with a Glencore subsidiary for financing of $200 million to $250 million and concentrate offtake for the Prieska project in South Africa, according to a Wednesday filing with the Australian bourse.

The financing will be made available in two tranches, with $40 million to be used for the construction and startup of the Uppers at Prieska, and $160 million to $210 million to be used for the construction and startup of the Deeps at Prieska, the filing said.

The drawdown will be determined by agreed milestones for each tranche during the due diligence process, with the first drawdown expected in November, according to the filing.