- Anax Metals (ANX) has signed a non-binding term sheet with Anglo American Marketing to fund the development of the Whim Creek Project, near Port Headland
- Anglo will purchase a one per cent net smelter return for US$2 million (A$2.6 million) over the production of copper and zinc from Whim Creek
- The term sheet will also provide a proposed project funding package of up to US$20 million (A$26 million)
- This funding will be spent on financial commitments necessary to commence production at Whim Creek
- The parties will now work towards finalising these agreements, which is expected in the coming weeks
- On the market this morning, Anax is up 18.5 per cent and is trading at 7.7 cents per share
Anax Metals (ANX) has signed a non-binding term sheet with Anglo American Marketing to fund the development of the Whim Creek Project.
Anglo will purchase a one per cent net smelter return for US$2 million (A$2.6 million) over the production of copper and zinc from Whim Creek.
The term sheet will also provide a proposed project funding package of up to US$20 million (A$26 million). This funding will be spent on capital expenditure and other financial commitments necessary to commence production at Whim Creek.
The project is located 115 kilometres southwest of Port Headland in the Pilbara region of Western Australia. Recently, Anax earned an 80 per cent interest in Whim Creek from Venturex Resources (VXR).
Development of the project will include the refurbishment of existing site infrastructure, installation of new ore sorting and gravity separation circuits.
The next stage for Anaz and Anglo is to work towards formal binding documents. this is currently underway and is expected to complete in the coming weeks.
On the market this morning, Anax is up 18.5 per cent and is trading at 7.7 cents per share at 11:33 am AEDT.