Finders Resources has secured US$138 million in three separate MLA’s (Mandated Lead Arrangers) to fund commercial development of the Wetar copper project in remote eastern Indonesia.
Finders managing director Chris Farmer says the financing from Barclays Capital, Credit Suisse AG and Standard Bank is a significant vote of confidence in Wetar.
“In a very difficult global banking environment, all three MLA’s have received credit approvals. The three banks are recognized global leaders in mining project finance and their support speaks highly of the economics of the Wetar copper project and its long term viability.
“Finders is one of the few listed ASX pre-production copper companies with a clear path and timeline to production. The coming months will be important for us as we move into the construction phase – 2012 will be a vey big year for the company,” Chris Farmer says.
The Wetar copper project includes two high grade deposits, Kali Kuning and Lerokis, which are suitable for open pit mining. Both are situated within 3km of the Wetar Island coast, within 6km of an established port. There is existing infrastructure in place including a wharf, camp and roads from previous gold mining.
Since 2009 Finders has operated a 5 tonne per day SX-EW demonstration plant to test copper sulphide leach kinetics, optimize process design and provide data required for project finance. This plant has produced and sold more than 2500 tonnes of LME Grade A copper cathode.
It hopes to expand the existing demonstration plant to annual capacity of 7000 tonnes with the incorporation of the former Whim Creek plant to again lift annual production to 25,000 tonnes.
The feasibility study completed on the project in June 2011 detailed an 8.2 million tonne ore resource of an average grade of 2.5% copper with a mine life of 9 years.