Millennium Minerals has secured additional funding to underpin the next leg of the Nullagine gold mine’s transformation in Western Australia.
An agreement has been reached with Millennium’s major shareholder, IMC Group, for the provision of a $7.5 million extension to the $20 million term loan facility announced in May.
The extension of the facility will underpin the next phase of optimisation, improvement and exploration initiatives at Millennium’s 100 per cent-owned Nullagine project.
In addition, it will provide liquidity while Millennium ramps-up production from the new Golden Gate Mining Centre. It will also the complete the company’s transition to an owner-operator model for load-and-haul operations, as well as a number of strategic exploration initiatives.
The Golden Gate Mining Proposal amendment for the Crow and Condor pit extensions was also approved, with development and mining operations now under way and first parcel of high-grade ore from Golden Gate to be delivered to the Nullagine processing plant this week.
It is also reported to be an important source of high-grade ore feed over the next six months, supplementing production from Bartons Underground and Golden Eagle.
Millennium also continues to make steady progress with the ramp-up of production at Bartons Underground with stoping now occurring in four locations over two levels.
The company has moved quickly to mitigate water shortages experienced at Nullagine in recent weeks, which have also been a factor impacting production levels.
An extensive water bore drilling program is underway targeting new water sources identified by a recently completed electro-magnetic (EM) survey.