Horizon Minerals (ASX:HRZ) is waiting on the final key approval to develop the Phillips Find Gold Project in Western Australia.
In early June 2024, a mining proposal was submitted to the Department of Energy, Mines, Industry Regulation and Safety to develop the project. Approvals are expected shortly.
The $50.33 million market capitalised company says pre-production planning is well advanced, with clearing and site establishment crews and a 200 tonne excavator ready to mobilise to site from mid-September 2024, subject to the approval.
In May 2024 a 200,000 tonne milling agreement was executed with FMR Investments. The agreement has now been renegotiated with Phillips Find ore to be treated at FMR’s Greenfields mill from February 2025 to June 2025.
Horizon Minerals notes timing of cashflows to the company are expected to be unaffected as initial cash from gold revenue will repay BML’s working capital prior to splitting our surplus net cashflows on a 50/50 basis towards the end of the project.
On 7 August, Horizon Minerals executed a joint venture (JV) agreement with BML Ventures to develop and mine two open pits at Phillips Find.
All of the management, technical, operational, and maintenance roles are to be conducted by BML, with oversight by the company.
There is a low financial risk JV structure with BML to fund all project costs, with net cashflow after the asset recovery and repayment of costs to be split 50:50 between both companies.
Horizon Minerals is an emerging mid-tier gold producer focused on its extensive portfolio of highly prospective gold projects in Western Australia’s goldfields region.
Write to Aaliyah Rogan at Mining.com.au
Images: Horizon Minerals
