Javelin and its service provider cleared to start mining at Eureka gold project
ASX-listed Javelin Minerals has secured final approval for its Eureka gold project to start mining operations, with the Western Australia Department of Mines, Petroleum and Exploration having approved the company's mining development and closure proposal.
The Eureka project is now shovel-ready with an approved mine plan and a development pathway in place for the project's 1.36-million tonnes indicated resource grading 1.8 g/t gold for 78678 oz contained.
Javelin plans to operate the Eureka and Eureka Northwest openpits, with the main Eureka orebody remaining open down-plunge to the north for further growth potential.
The company is advancing discussions with nearby mill operators with the aim of starting ore processing as soon as practicable.
With MEGA Resources providing Javelin with $25-million in project financing, the Eureka project is fully funded to production. Javelin signed a right to mine agreement with established mining services provider MEGA Resources under which MEGA Resources will provide geological, engineering, mining and transport services, as well as the project financing.
The start of processing Eureka ore will trigger upfront payments by MEGA Resources of $250000 a month as a prepayment from Javelin's profit share.
