By Craig Nolan
Copyright theage
Further bolstering the project development is MEGA’s undertaking to stump up a working capital finance facility to develop the project, of up to $25 million, repayable from project revenues. Javelin will have no upfront funding requirements.
‘MEGA is a highly regarded mining contractor with the people, expertise and material balance sheet to support development of the project.’Javelin Minerals executive chairman Brett Mitchell
Eureka’s total mineral resource is 2.04Mt at 1.69g/t gold for 110,687 ounces, including a resource within the indicated category of 1.36Mt grading 1.8g/t for a solid 78,678 gold ounces.
Javelin will get 70 per cent of the profits from any additional resources mined above and beyond the agreed mine plan, from this or future projects at Eureka.
The company plans to kick off mining activities at the site in the June quarter next year. Eureka already possesses a coveted granted mining lease. MEGA will put in any hard yards necessary to obtain all the other relevant mining and other approvals. It will also provide geological and engineering services.
