Cadence Minerals plc’s joint venture (JV) partner has received approval for a A$140 million loan to fund construction of the Yangibana rare earths project, in the Gascoyne region of Western Australia.
JOINT VENTURE
Cadence owns 30% of three mining leases, six exploration licences and Australian company Hastings Technology Metals holds the remaining 70%.
The JV areas are scheduled to be mined in years 12 to 15 on the mine plan.
NAIF LOAN
Northern Australia Infrastructure Facility (NAIF) approved the loan with a 12½-year tenor.
Cadence added that the NAIF loan finalised remaining funding for the Yangibana project, which is the first Australian rare earths project to receive such financial support.
The NAIF loan forms part of A$300-400m of total debt financing required for Yangibana.
The first drawdown is expected during early 2023 and is aligned to Yangibana funding schedule.
YANGIBANA
The JV has started Yangibana early works construction and design for long-lead items ahead of construction of the plant in September 2022 Quarter.
The project comprises a mine and beneficiation plant at the site and a hydrometallurgical plant at the Ashburton North Strategic Industrial Area (ANSIA) near Onslow.
Cadence said that the project would become Australia’s second rare earths producer.