PERTH (miningweekly.com) – Integrated service contractor MACA will provide gold miner Blackham Resources with a A$12-million working capital facility to progress its transition to the Stage 1 expansion sulphide development at its Western Australian operations.
Under the agreement, MACA will provide Blackham with working capital of up to A$12-million until the end of February 2020, which will be provided in the form of extended payment terms for amounts payable to MACA under its surface mining contract.
The working capital facility is separate to the existing A$14.3-million secured loan previously provided by MACA, against which Blackham will continue to make repayments, with the balance now at A$11.3-million at the end of May.
“We are very pleased to announce the continued support of MACA, which allows the company to continue to prioritise improvements to operational performance and cost reduction to reduce debt and allow for the transition to the Stage 1 expansion sulphide development, which will unlock the large sulphide reserves and resources within Wiluna,” said Blackham executive chairperson Milan Jerkovic.
The mine development works being progressed as part of the sulphide expansion include mine planning for further shallow, near plant free-milling openpit mines, capital works associated with new, expanded tailings storage capacity, the progression of the execution strategy for the Williamson free-milling orebody, and planning and associated works to prepare for the transition to sulphide mining in 2020.
The Stage 1 expansion would increase production from the current range of between 80 000 oz/y and 100 000 oz/y, to between 100 000 oz/y and 120 000 oz/y.