New Century Resources has gained funding to fast-track a ramp-up at its Century zinc operation in Queensland’s lower Gulf.
The company announced today it had entered a legally binding term sheet for a $40 million senior secured debt and bank guarantee facility with National Australia Bank.
New Century said the deal was believed to represent the first project debt financing package provided for a mine
rehabilitation and tailings reprocessing operation by a ‘Big 4’ Australian bank.
The company began hydraulic mining and processing last month after a $50 million restart project at the mothballed site, formerly operated by MMG.
New Century plans to utilise the $40 million to expedite plans for expansion to full production rate from the initial capacity of 8Mtpa.
This will entail refurbishment of the northern train of the processing plant and further supporting infrastructure to bring operations to a full capacity of 15Mtpa.
The additional works budget associated with the ramp-up is $63 million, which is scheduled to be completed in the last quarter of 2019.