
Metallica Minerals has entered into a secured loan agreement with South West Pacific Bauxite, 75% owner of Wagina bauxite project. The company will provide South West Pacific Bauxite with A$120,000 loan, in exchange for an option to carry out exclusive due diligence on the Wagina bauxite project in the Solomon Islands with a view to ultimately completing a transaction involving the project.

Metallica Managing Director, Mr Simon Slesarewich said: “After an extensive and disciplined search in Australia and overseas, we are excited to have identified the Wagina bauxite project as an asset that is potentially the right fit for the Company. This Project has the ability to significantly extend our current Reserve life and lift the production profile beyond what Urquhart will deliver when it comes online.”
“Similar to Urquhart, Wagina has the potential to be developed at a relatively low capital cost and in a manner that could deliver outstanding returns.”
“We have been selective with growth opportunities and we intend to be thorough in our due diligence on Wagina as the Solomon Islands is a new jurisdiction for the Company. We look forward to commencing this process and expect to announce the results later this year.”
Australian bauxite developer Metallica said while progressing Urquhart Bauxite Project towards production, Metallica has been canvassing growth options to increase production profile towards the previously stated target of 5-7 million tonnes per annum of bauxite, over 3 to 5 years.
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