Leederville-based mining company Fox Resources Ltd repaid the $4 million in project funding given to it by Chinese company Jinchuan Group Ltd, the company announced today.
The full text of a company announcement is pasted below
Fox Resources Ltd today announced that it has repaid the $4 million project funding with Jinchuan Group Ltd on 12 December 2006.
Jinchuan, China's largest nickel producer, provided Fox with a $4 million pre-payment on 22 May this year for copper sales from the Company's West Whundo Copper Zinc mine through a financing agreement. In addition to the West Whundo offtake copper concentrate agreement, Fox has a current life-of-mine offtake agreement with Jinchuan for all nickel and copper concentrate sales
from the Radio Hill operations.
Fox's Managing Director, Mr Don Harper, said he was extremely pleased with the strengthening relationship between Fox and Jinchuan.
"Fox is now completely bank and project debt-free. It's encouraging to be able to repay Jinchuan on such positive terms and look forward to what 2007 has in store for our next phase of growth;" said Mr Harper.
Fox has shipped a total of 1,138 tonnes of contained copper metal from the Port of Dampier in the month of December, with a further copper shipment planned before the end of 2006. Copper and zinc massive sulphide ore is currently being stockpiled on the surface ready for processing in the New Year.
"Our attention is now focused on seeking an offtake agreement for our premium zinc concentrate," he said.
The Company is on schedule to become Australia's next zinc producer in a climate of falling zinc stockpiles and record zinc prices.
