Alara Resources (ASX: AUQ) is earning a 75% interest into the Washihi copper-gold project in Oman, with a JORC Resource upgrade at the project providing the company with additional options going forward.
The new resource stands at: 6.84 million tonnes Indicated at 0.90% copper and 0.17g/t gold, and 7.27 million tonnes Inferred at 0.71% copper and 0.20g/t gold.
Alara is looking to either divest or accept project investment approaches for its Oman projects, to assist with short term operating cash flow while finance is secured for the company's flagship Khnaiguiyah Zinc-Copper Project in Saudi Arabia.
The consideration to divest the asset follows the preliminary metallurgical test results coupled with the positive economic outcome of a Scoping Study, which involved the combined Washihi and Daris resources.
Khnaiguiyah Zinc-Copper Project
The Khnaiguiyah Project is operated by Khnaiguiyah Mining Company LLC (KMC), a 50:50 joint venture between Alara and United Arabian Mining Company LLC (Manajem), a privately owned Saudi Arabian mining company.
Following the completion of the DFS, the focus of Alara has shifted to a potential producer, with the company seeking completion of project financing and ultimately commencement of mine construction and operation through KMC.
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