London, August 21st (Argus) - The UK-based trading company Wogen has signed a preliminary agreement with the Australian mining company EV Resources to provide financial support for the Los Lirios锑 mine project in the state of Oaxaca, Mexico.
Wogen will arrange a proposed secured debt financing of between 2 million and 3 million US dollars through its financial partner Xcelsior Capital Resources to advance the project, which is currently in the early stages of development.
In return, Wogen Company will obtain the exclusive right to purchase antimony products from Loslirios. This mine consists of three licenses, covering an area of 1552 hectares (15.5 square kilometers), including three historical open-pit mines and several underground mining areas. The mining area lacks processing facilities, and previous activities mainly focused on extracting high-grade ores.
EV Resources also plans to build a gravity separation test plant with a daily processing capacity of 100 tons, which will be used to process antimony ores from the Los Lirios Mine and third-party suppliers. The company stated that it will also rely on the support of Wogen and Xcelsior to carry out downstream processing of the output from the Los Lirios Mine.
Last year, Wogen Company signed a binding agreement with Larvotto Resources Company. The subsidiary of Larvotto Resources Company holds the Hillgrove (in New South Wales, Australia) antimony-gold mine project. Wogen Company provided a loan of 4 million US dollars in exchange for a seven-year production purchase agreement.
