Australia’s Foreign Investment Review Board (FIRB) has approved a strategic cooperation arrangement between Kimberley Metals and China’s largest lead producer, Henan Yuguang Lead & Gold Co.
The arrangements involve Yuguang taking a 15% placement in Kimberley and earning a 25% direct interest to develop the Sorby Hills lead-silver-zinc project in Western Australia.
The FIRB has advised Yuguang that it has no objections to the proposed arrangements with Kimberley.
The $5 million of funding for the Sorby Hills Joint Venture will be utilized to bring the project feasibility study to completion.
The $5 million cash injection into Kimberley will be dedicated to a production start-up for the Pearse Gold Project at Mineral Hill in New South Wales, including the recommissioning of the Mineral Hill processing plant to produce both gold bullion and gold in concentrate.