Photo by: Bloomberg
PERTH (miningweekly.com) – Base and precious metals developer Metals X has raised A$40.44-million through a gold pre-payment arrangement with Citibank.
Under the agreement, Citi has advanced the funds to Metals X, with the company taking on the obligation to deliver 1 250 oz/m over the next 24 months for a total of 30 000 oz.
The company said that the pre-pay arrangement brought its working capital to about A$90.8-million, and would be used to expand its gold division.
Metals X owns the Higginsville and South Kalgoorlie gold operations, in Western Australia, which it acquired from Alacer Gold in September last year, in a deal valued at A$40-million.
In June this year, Metals X also acquired the Meekatharra gold operations from fellow listed Reed Resources for A$10-million.