Funds available for Wowo Gap

FINANCING has been secured for Resource Mining Corporation’s Wowo Gap nickel laterite project with the company entering into an agreement with its majority shareholder Sinom, which holds a 46.6% interest.
Funds available for Wowo Gap Funds available for Wowo Gap Funds available for Wowo Gap Funds available for Wowo Gap Funds available for Wowo Gap

The company has secured a $A500,000 unsecured loan that will be used to continue the project's exploration program, with the funding coming in a number of tranches.

An initial $A300,000 has been offered to RMC , with subsequent tranches being available after giving five business days' notice to Sinom.

Although there are no other fees attached to the tranches, which are also interest free, the principal is repayable in full on or before October 31.

Drilling results released in March yielded positive results, with assays from the Koyama area indicating the presence of high-grade nickel mineralisation and a mineral profile similar to ores found in New Caledonia.

The Wowo Gap project is in Papua New Guinea's Oro Province, and is believed to contain 125 million tonnes of ore at grades of 1.06% nickel and 0.07% cobalt, according RMC's 2014 annual report.

The company is well placed to capitalise on Chinese and Japanese demand for nickel, as both countries are actively seeking alternative sources after Indonesia banned exports in January 2014.

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