PERTH (miningweekly.com) – ASX-listed Heron Resources has drawn down the first $20-million from the $60-million financing provided by Orion Mine Finance to construct the Woodlawn zinc/copper project, in New South Wales.
Heron said on Thursday that the remaining $40-million remained undrawn and would be available to the company.
“The draw-down of the $20-million debt tranche is a significant milestone for the Woodlawn project finance and was subject to the completion of specific conditions precedent, all of which have been satisfied,” said Heron MD Wayne Taylor.
“The debt tranche is being drawn down in accordance with the project timeline, with the funds to be used for Woodlawn plant construction activities. The project is advancing to schedule and once in production, will position the company to capitalise on favourable conditions in the physical zinc market.”
The Woodlawn project has passed the 50% completion milestone, and is still on track for commissioning by year-end. At steady state, Woodlawn is expected to produce 70 000 t/y of zinc concentrates, 30 000 t/y of copper concentrates and 25 000 t/y of lead concentrates.