PERTH (miningweekly.com) – Metals explorer Comet Resources has reached a streaming agreement for up to $20-million for the development of its Santa Teresa gold project, in Mexico.
The company has inked binding documents with Raptor Capital International for the provision of a streaming facility to provide a minimum of $6-million and a maximum of $20-million in funding.
Comet said on Wednesday that the facility will become available after certain conditions precedent have been met, including taking a decision to mine at Santa Teresa.
“Finalisation of the streaming agreement with Raptor provides Comet with non-dilutive capital for the development of a mining operation at Santa Teresa,” said MD Matthew O’Kane.
“We are presently working towards upgrading the existing foreign resource estimate for the project to a Joint Ore Reserves Committee-compliant resource. Information gained from completing this resource will also assist us in planning the initial exploration activities at the project, including our first drilling programme.”
Santa Teresa lies on some 202 ha of land located in the El Alamo district and is prospective for high grade gold. In addition to the two claims of the project, two additional claims totalling a further 378 ha in the surrounding district are also being acquired by Comet.