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Mining

PNX Metals lifts cash balance with non-dilutive forward silver sale

Funds will be used for ongoing exploration at the Hayes Creek Project.

PNX Metals Ltd (ASX:PNX) has received further support for its Hayes Creek Project, which has a promising future as a low-cost, high-margin zinc and precious metals mine.

The company has now secured an additional $800,000 in funding from an existing silver forward sales transaction.

Two of the investors involved in the transaction have elected to exercise their options to each acquire a further 56,000 ounces of silver to be produced from the Hayes Creek.

James Fox, managing director, commented:

"This further increase in commitment to the Hayes Creek Project underscores the financial viability demonstrated through the recently announced PFS results.

READ NOW: PNX Metals study confirms high-value zinc mine

"The simple and non-equity dilutive funding allows for advancing the Environmental and Government approvals and ongoing exploration."

Collectively the Hayes Creek Project hosts a total Indicated (84.7%) and Inferred (15.3%) JORC Resources of 4.1 million tonnes containing 177,200 tonnes of zinc, 238,000 ounces of gold, 16.2 million ounces of silver, 37,000 tonnes of lead, and 10,050 tonnes of copper.

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