- AustraliaNorth AmericaWorld
Investing News NetworkYour trusted source for investing success
- Lithium Outlook
- Oil and Gas Outlook
- Gold Outlook Report
- Uranium Outlook
- Rare Earths Outlook
- All Outlook Reports
- Top Generative AI Stocks
- Top EV Stocks
- Biggest AI Companies
- Biggest Blockchain Stocks
- Biggest Cryptocurrency-mining Stocks
- Biggest Cybersecurity Companies
- Biggest Robotics Companies
- Biggest Social Media Companies
- Biggest Technology ETFs
- Artificial Intellgience ETFs
- Robotics ETFs
- Canadian Cryptocurrency ETFs
- Artificial Intelligence Outlook
- EV Outlook
- Cleantech Outlook
- Crypto Outlook
- Tech Outlook
- All Market Outlook Reports
- Cannabis Weekly Round-Up
- Top Alzheimer's Treatment Stocks
- Top Biotech Stocks
- Top Plant-based Food Stocks
- Biggest Cannabis Stocks
- Biggest Pharma Stocks
- Longevity Stocks to Watch
- Psychedelics Stocks to Watch
- Top Cobalt Stocks
- Small Biotech ETFs to Watch
- Top Life Science ETFs
- Biggest Pharmaceutical ETFs
- Life Science Outlook
- Biotech Outlook
- Cannabis Outlook
- Pharma Outlook
- Psychedelics Outlook
- All Market Outlook Reports
De Grey Mining Gets AU$150 Million Loan for Hemi Gold Project from Australia's NAIF
The money will form part of an AU$1 billion senior debt facility and an AU$130 million cost overrun facility that, along with De Grey's existing cash balance, is expected to finance the Hemi gold project's development.
Gold explorer and developer De Grey Mining (ASX:DEG,OTC Pink:DGMLF) announced the receipt of AU$150 million in debt funding from the Northern Australia Infrastructure Facility (NAIF) on Monday (August 26).
The loan is intended for the development of the company’s 100 percent owned Hemi gold project in the Pilbara region, which De Grey says has the potential to be a large-scale, low-strip-ratio and low-cost open-pit operation.
The funds will form part of a lending syndicate that is expected to provide a AU$1 billion senior debt facility and a AU$130 million cost overrun facility. Along with De Grey's existing cash balance, this money is anticipated to be enough to finance Hemi's development. The company said it has received credit-approved terms from local and international commercial banks that can support the targeted funding levels for the debt facilities.
"We appreciate the strong support for the development of Hemi shown by NAIF and would like to acknowledge the important role played by the Minister for Resources and Northern Australia, Hon. Madeleine King MP and the Special Envoy for Northern Australia, Luke Gosling OAM,” commented Glenn Jardine, managing director of De Grey.
“This project will boost economic and social outcomes for people living and working in the Pilbara,” King said in a separate release, citing more than 1,700 jobs during construction and operation as benefits to the local community.
“This funding is part of more than AU$4.5 billion committed by the Australian Government through NAIF to spur development across a range of industries in the north,” added Gosling.
Included in the terms agreed on by De Grey and NAIF is the commitment to continue engaging with the Kariyarra People, the native title holders of the land on which Hemi is located, and to drive positive outcomes for traditional owners.
Hemi is located on Kariyarra lands and has a resource estimate of 10.5 million ounces of gold. Hemi remains open in multiple directions, and De Grey believes there is potential to further extend mineralisation.
“(The project) will also support the preservation of Aboriginal cultural heritage and land management through the establishment of a ranger program within Kariyarra country around the Hemi area," said Jardine.
De Grey is aiming to finalise all documentation for the debt facilities by December of this year. A final investment decision will follow depending on when the company receives final environmental approvals.
Don’t forget to follow us @INN_Australia for real-time news updates!
Securities Disclosure: I, Gabrielle de la Cruz, hold no direct investment interest in any company mentioned in this article.
The Beginner’s Guide to Investing in Gold (Australia Edition)
Ready to invest in gold? Our beginner's guide makes it simple to get started.
Download your investing guide today.
Learn About Exciting Investing Opportunities in the Gold Sector
Your Newsletter Preferences
Gabbie graduated with a journalism degree from Colegio de San Juan de Letran - Manila and has produced articles on a variety of topics, such as infrastructure, business and technology. Her creative portfolio includes written work on architecture, art and design. Gabbie covers the Australian market for the Investing News Network, focusing on the mining sector.
When not in front of her desk, she is out scanning through vinyl records, exploring the international coffee culture and fighting for queer rights.
Latest News
Investing News Network websites or approved third-party tools use cookies. Please refer to the cookie policy for collected data, privacy and GDPR compliance. By continuing to browse the site, you agree to our use of cookies.
Gabbie graduated with a journalism degree from Colegio de San Juan de Letran - Manila and has produced articles on a variety of topics, such as infrastructure, business and technology. Her creative portfolio includes written work on architecture, art and design. Gabbie covers the Australian market for the Investing News Network, focusing on the mining sector.
When not in front of her desk, she is out scanning through vinyl records, exploring the international coffee culture and fighting for queer rights.
Learn about our editorial policies.