Catalpa going for gold

Catalpa Resources has made big steps in its transition from explorer to producer.

Catalpa Resources said it made significant steps in its transition from minerals explorer to producer in the June quarter, raising more than $106 million to commence work at its Edna May Gold operation in Western Australia.

In its June quarter activities report released yesterday, the company said it hoped to begin production at the Westonia site by mid-2010.

During the period, environmental and works approvals were obtained from the Western Australian Department of Environment and Conservation.

The approvals meant that recently appointed major contractor GR Engineering Services was able to begin work on 6 July, Catalpa said.

According to the company, earthworks at the site are underway, the refurbishment of the processing plant has begun and construction of an 88-man accommodation village is nearing completion.

Catalpa also announced a planned merger with its largest shareholder, Lion Selection, to establish Australia’s next mid-tier gold company.

According to the company, the proposal would merge the gold assets of both parties under Catalpa’s brand and management.

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