JOHANNESBURG (miningweekly.com) – The Junta de Extremadura government has awarded Aim-listed W Resources a €5.3-million grant for the La Parrilla tungsten and tin project, in Spain.
The grant equates to 32% of the €16.6-million plant and facilities package that qualified for the grant contribution.
"The provision of a grant for such a large proportion of our La Parrilla mine development is very positive and contributes further to our strong funding position.
“Importantly, the award of the grant funds strongly align the Junta de Extremadura government with the success of the La Parrilla project and we are very appreciative of their support,” commented W Resources chairperson Michael Masterman.
The grant, combined with a recent $35-million loan from Blackrock, underpins the advancement of the La Parrilla project, which will be the largest tungsten mine in Europe, producing 2 700 t/y of tungsten concentrate.
W Resources recently signed major long-term offtake agreements for tungsten concentrate from the mine. The operation will supply European tungsten processing giant Wolfram Bergbau und Hütten and a supplier to the US markets with 66% tungsten concentrate. The offtake agreements cover the initial T2 development at La Parrilla and will account for about 80% of the planned production tonnage from this phase.