Trident Royalties PLC (AIM:TRR) has noted state government approval for operations to get underway at the Spring Hill gold project in Australia's Northern Territory.
The company has a royalty over the entirety of Spring Hill that is currently worth A$13.30 per ounce of gold produced, which approximates to around a 0.5% gross revenue royalty.
Spring Hill is being developed by TM Gold Pty Ltd, a subsidiary of private company PC Gold.
Stage 1 production is scheduled to mine approximately 102,000 ounces of gold over a 13-month period.
Adam Davidson, Trident’s chief executive, said: “We are pleased to note the developments at Spring Hill which further serve to highlight the hidden value contained within Trident's royalty portfolio.
“With approvals in hand, PC Gold is free to focus on advancing the project towards first production at a time of a historically strong gold price underpinned by significant macroeconomic and global uncertainty."
Spring Hill is 28km away from an existing gold processing plant which has already processed a bulk sample from the project.