Fima loan to boost Warwick’s Ghana gold production
Wednesday, 20 June 2012 08:58
Land development firm Fima Inc will fund Ghanaian company Warwick Mineral Resources to boost its gold mining operations in Ghana
Fima will initially invest US$400,000 by way of secured loans to Warwick in exchange for a 10 per cent royalty interest on the company’s gold production.
The funds will be used for equipment purchases to boost production at Warwick’s Vincent Property. The loan, expected to be repaid by February 2013, will be paid back on basis of 20 per cent of the net gold sales per week.
In addition, Fima has been granted an option to acquire 10 per cent of Warwick, which expects the project to produce $15,000,000 in gross revenue in the next three years.
Fima and Warwick have agreed to use their expertise and contacts to develop other mining opportunities in Ghana.
The focus will be on mature properties with the potential for early production and cash flow. Explorations conducted by the Fima-Warwick team will hunt for deposits of base metals, strategic minerals and rare earths.