funding, page-8

"Poseidon CEO David Singleton said that funding for the project was likely to be wrapped up by the start of next year, with construction set to start soon after."


Full article:

http://www.miningweekly.com/article/poseidon-eyes-lower-cost-for-windarra-2013-10-10


By: Esmarie Swanepoel
10th October 2013
TEXT SIZE PERTH (miningweekly.com) – ASX-listed Poseidon Nickel is working to reduce the capital cost of its Windarra project, in Western Australia, as it continues with its financing negotiations for the A$197-million mine.

Speaking to Mining Weekly Online on the sidelines of the Paydirt Australian Nickel Conference, Poseidon CEO David Singleton said that funding for the project was likely to be wrapped up by the start of next year, with construction set to start soon after.

“We do think that there are some substantial opportunities to reduce cost, and that is what we are doing while waiting for the financing to come through. We have a number of quite innovative ideas to reduce the capital cost and we are bearing down on the market to get better pricing.”

Singleton was optimistic that the nickel environment would improve within the next 18 months, with nickel prices taking an upswing.

“Clearly there is currently a downside associated with the nickel market, but there is also an upside to that, and we are running towards the opportunity rather than towards the problem.”

Singleton noted that the Windarra project, which would have an initial ten-year mine life, was ready for construction, with all permits in place.

The project would incorporate the existing brownfield Mount Windarra underground mine, the nearby greenfield Cerberus underground mine, a nickel sulphide concentrator plant and a retreatment plant.

It would produce 9 600 t/y of nickel in concentrate and 45 000 oz of gold during the first three years of production from a 4.36-million-ton gold tailings reserve.

Edited by: Mariaan Webb