GECR reports that “Tri-Star Resources, the integrated antimony development company, has completed its funding package for its share of the Oman Antimony Roaster, a 20,000 t/y antimony roasting facility being developed in Sohar, Oman, and the first of its kind to be built outside of China in over 40 years and to world highest environmental standards. The company is now permitted and funded to progress the closure of the joint venture terms and proceed to construction.

“Tri-Star has raised a total of £3.5 million (before expenses) through the issue of both shares and convertible bonds.

“Tri-Star has agreed the conditional sale of certain intellectual property rights to Strategic & Precious Metals Processing (SPMP), a company registered in the Sultanate of Oman and of which Tri-Star owns 40%.

“Tri-Star has received a preliminary third party independent technical report commissioned to review the company’s proprietary ‘clean roasting’ technology and specifically its application to refractory gold. The report highlights four key attributes pertaining to Tri-Star’s technology:

• Tri-Star’s clean roasting technology, which is a two-step process consisting of a reduction roast followed by an oxidation roast, is confirmed as a viable technology for treating refractory gold ores
• The report’s preliminary economic assessment based on a representative suite of feed-stocks generates an estimated NPV of close to $1 billion and an IRR of 45%. This is based on a nominal 500,000 t/y processing facility based in the Middle East producing 500,000 oz/y of gold
• A detailed comparative analysis of 39 selected gold projects either at advanced stage of development or nearing production highlighted major competitive advantages that the Tri-Star technology and facility could offer
• The clean roasting technology provides a process for refractory gold concentrate treatment which should be highly cost effective with distinct advantages over competing treatment processes combined with full environmental compliance.
• Total overall OAR funding for SPMP remains at $70 million, as previously announced, but now this amount is expected to be made up as follows:

“Tri-Star has, in principle, agreed revised terms with joint venture partners Oman Investment Fund (OIF) and DNR Industries with respect to the capital structure of SPMP.

• $15 million of equity to be provided by the joint venture partners in proportion to their respective individual interests (previously $20 million)
• Mezzanine loan facility of $15 million (previously $10 million)
• Senior debt of $40 million (unchanged).”