JOHANNESBURG (miningweekly.com) – Dual-listed Metminco on Monday reported that it now has sufficient funding to advance a feasibility study on its Miraflores gold project, in Colombia, during the third quarter, after it obtained loans from two sources.
The proceeds will also be used for general working capital.
The company noted that it received A$750 000 from Redfield Asset Management and Redfield Advisory through a convertible note facility, while its major shareholder Lanstead Capital has executed a binding term sheet to provide an additional A$200 000 in funding through a nonredeemable convertible note facility.
The company is targeting the first gold pour for the first quarter of 2019, with gold production averaging 50 000 oz/y for nine years, with estimated all-in sustaining costs of $650/oz.
MD William Howe noted that the fundamentals of the Miraflores project were highly attractive, with Metminco expecting the feasibility study to further demonstrate this.
“The focus is to deliver the feasibility study to the market and transition to the development stage. We are fortunate to have the continued support of our two largest shareholders,” he added.