These facilities have been put in place for financial prudency purposes.
The key features of the facilities are as follows:
- $35 million revolving cash advance facility (unsecured);
- $20 million environmental bond, bank guarantee facility (unsecured); and
- $20 million asset finance facility (secured by the underlying equipment).
Silver Lake will use the bank guarantee facility to replace existing environmental bonds amounting to $7.5 million.
The remaining facilities are expected to remain on a standby basis.
Silver Lake's Murchison project in Western Australia is set to become the company's second mining operation with multiple mines feeding a central processing facility.
A 1.2 million tonne per annum mill has been acquired for this project and production is expected to begin in the March 2013 quarter.
At the Eelya Complex, part of the Murchison project, a high grade copper discovery has been made at Hollandaire.
The Hollandaire deposit contains copper, gold, silver and zinc with grades up to 45% copper, 5.5g/t gold and 256g/t silver.
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