|MIL Resources' Amazon Bay Titanomagnetite Ironsands project in PNG.|
The Philippines copper and zinc miner has poured $A1.52 million into Foyson’s exploration programs at Amazon Bay and New Britain which includes a recent payment of $480,000.
A further $1 million will be raised from TVI if another placement gets the necessary shareholder and regulatory approvals at Foyson’s general meeting scheduled for April 16.
If it goes ahead Foyson said TVI would have provided total funding of $4.3 million which includes only $600,000 through a loan.
“As previously advised to shareholders, the loan is interest free and may be converted to equity or repaid, by 30 June 2014, at the discretion of TVI,” Foyson said.
“The company is also pleased to advise that planning for the exploration and evaluation program, to be conducted during 2013 on the Amazon Bay project, is underway between TVI and Foyson and details will be released in the March quarterly report.”
The iron sands project has faced years of delays.
A scoping study unveiled in 2010 was based on producing 2.5 million tonnes per annum of a vanadium-bearing, titano-magnetite concentrate from the proposed dredge mining operation.
The best case capital expenditure estimate was $415 million at the time, while operating and servicing costs were expected to total $US55 a tonne.