- Red 5 (RED) has received the final approval to restart its King of Hills Gold Project in Western Australia
- The company’s mining proposal has been given the green tick from the Department of Mines, Industry Regulation and Safety
- Currently, the project is $10 million under budget and is on track to deliver the first gold production in the June 2022 quarter
- On the market this afternoon, Red 5 is up 5.71 per cent and is trading at 18.5 cents per share
Red 5 (RED) shares are in the green today after receiving the final approval needed to restart its King of Hills Gold Project in Western Australia.
The company’s mining proposal has been given the green tick from the Department of Mines, Industry Regulation and Safety.
Additionally, Red 5 has also approved phase two of an engineering, procurement and construction contract, which will allow the company’s contractor, MACA Interquip, to gather construction teams in the coming months.
Currently, the project is $10 million under budget and is on track to deliver the first gold production from King of Hills processing plant in the June 2022 quarter.
Notably, Red 5 is finalising the debt financing for the project, which is expected to be completed this quarter.
Managing Director Mark Williams is pleased with the progress so far.
“With all major mining approvals now in place and the debt funding process on track for completion this quarter, Red 5 has approved phase two of the EPC contract,” he said.
“The manufacture and delivery to Australia of all key long-lead items for the plant is also well on track, which will help to ensure that key construction and installation milestones can be achieved once construction of the plant moves into full swing in the second half of this year,” he added.
On the market this afternoon, Red 5 is up 5.71 per cent and is trading at 18.5 cents per share at 2:47 pm AEDT.