UK-fund Hawkes Point Backs WA Gold Project
Australian gold and nickel company, Rox Resources Limited (ASX: RXL) has entered into a binding subscription agreement with Hawke’s Point (RRL) LP under which the latter will invest A$11 million = in Rox shares.
UK-based Hawke’s Point is the mining finance arm of TFG Asset Management, a diversified alternative asset management business. Hawke’s Point provides strategic financing solutions across a range of instruments, structures and geographies to development stage and producing mining companies
Rox Resources Managing Director, Alex Passmore, said the investment decision of Hawke’s Point comes after extensive due diligence on the Youanmi Gold Project and supports Rox’s strategy of acquiring and exploring the Youanmi Gold Project with a forward looking objective of bringing the project into production. The investment from Hawke’s Point underpins the Company’s exploration and development plans over the coming 18 months.
These plans comprise additional drilling in near mine and resource extension areas, such as Link and Junction zones as previously announced. In parallel, Rox will commence a review of existing mineral resource assets within the project area as part of a transition to mining. This will include metallurgical, hydrogeological, geotechnical and environmental studies to underpin an updated and optimised development plan.
Mr Passmore said Youanmi shows strong potential to be a high-grade, high-return gold operation. Rox’s work programs for the coming 6 to 9 months are focussed on delivering these studies with the primary aim of adding substantial value to the existing Youanmi project assets, in parallel to on-going exploration.
“The investment by Hawke’s Point is just its third in Australia and demonstrates confidence in the Rox team and the Youanmi Gold Project. Hawke’s Point and Rox share a common exploration and development philosophy for Youanmi which we look forward to progressing rapidly from here,” Mr Passmore said.
