ASX-listed Azure Minerals has received all regulatory approvals necessary for its planned mining operation at Oposura, Mexico, including openpit and underground mining permits, environmental clearances, explosives permits and surface land-use agreements.
The fully-funded zinc/lead/silver project is expected to deliver early cash flow to the company, which will support the completion of the feasibility study, provide general working capital and assist in funding the development of the stand alone processing plant.
Azure has secured financing for the mining and processing operation by entering into a binding commitment with major shareholder, Deutsche Balaton, to provide A$2-million through a convertible note.
This funding will enable the company to meet start-up costs and working capital requirements.
Production is on schedule to start in September, at a rate of between 1 500 t/m and 3 000 t/m grading about 15% combined zinc and lead.
All mineralisation to be mined is classified in the indicated mineral resource category.
The mining operation at Oposura will be led by Azure’s COO, Glenn Jardine, who has been closely involved with Azure’s project and business development activities in Mexico for the past four years.