A$10m standby facility boosts Hillgrove’s financial flexibility as Kanmantoo grows
Copper miner Hillgrove Resources has secured a A$10-million standby debt facility with Freepoint Metals and Concentrates, aimed at strengthening its financial position as it expands operations at the Kanmantoo mine in South Australia’s Adelaide Hills.
CEO and MD Bob Fulker stated on Wednesday that the improved balance sheet flexibility would allow Hillgrove to pursue opportunities to increase the mine’s ore reserves and extend its operational lifespan.
Last week, Hillgrove revealed its inaugural ore reserve estimate of 2.8-million tonnes, with a grade of 0.91% copper and 0.15 g/t gold, translating to about 26 000 t of copper and 14 000 oz of gold. Further, the company reported a significant increase in its mineral resource estimate, which rose by 96% to 19.3-million tonnes, with a grade of 0.77% copper and 0.14 g/t gold.
Meanwhile, Hillgrove reported September quarter production of 2 923 t at an all-in sustaining cost of $3.71/lb of copper after by-product credits. Key physical metrics at Kanmantoo continue to improve, leading to a 13% increase in copper production.
The miner posted net revenue from metal sales of A$36.9-million.
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