Gold junior Norton Gold Fields has approved a $38 million investment to transition to an owner-operator model for its Paddington operations in WA's Goldfields.
In a statement Norton said the funds would be used to purchase a mining fleet that would eventually replace the existing equipment hired from contractors.
The funds will be sourced from a $105 million credit deal secured last year with the Perth branch of the Industrial and Commercial Bank of China.
“The approval of the owner-operator structure represents an important step in our strategy to increase production,” Norton said.
“The new equipment fleet will increase productivity through improved fleet mechanical availability, and will also improve our operation cost profile.”