Alkane Resources said that Export Finance Australia (EFA) has expressed its willingness to help in the financing of the Dubbo polymetallic project in New South Wales (NSW), Australia.

The gold production company owns the Dubbo project through its fully-owned subsidiary Australian Strategic Materials (ASM). Located at Toongi in central western NSW, the project is said to be a large in-ground resource of zirconium, hafnium, yttrium, niobium, and rare earth elements.

EFA, which is Australia’s Export Credit Agency, intends to support the polymetallic project by being part of a consortium that will provide the necessary financial support. The agency’s participation will be subject to finalisation of normal due diligence, acceptable financing structure, and the subsequent transaction complying with its eligibility and credit requirements.

EFA confirms interest in the Dubbo polymetallic project in writing

The agency, in writing, confirmed that the Dubbo polymetallic project aligns closely to the Australian government’s recently announced initiative to develop its “critical minerals” sector.

Alkane Resources managing director Nic Earner said: “After extensive engagement with the Australian Government, particularly recently as part of its Critical Minerals initiative, it is pleasing to see that stated support is translating into preparedness for government agencies to act, in this case with EFA providing confirmation of its interest in being part of the financing consortium for the Dubbo Project.”

According to Alkane Resources, the Dubbo project is ready for construction and is subject to financing. The acquisition of the mineral deposit and surrounding land were all done by the company, which also had secured all the state and federal approvals.

Australian Strategic Materials is also said to have completed extensive piloting and engineering on the polymetallic project.

Following the confirmation of EFA’s support, Australian Strategic Materials will look to push ahead in engaging with investors and offtake parties who had shown interest in Dubbo polymetallic project.

Australian Strategic materials managing director David Woodall said: “It is very pleasing to see positive action by EFA. I look forward to continuing ASM’s discussions with strategic partners and offtake parties, particularly with the ongoing trade support and now potential financial support from the Australian Government.

“It is very clear in today’s world that security of supply chains in all manner of materials is a pressing issue, and security of Critical Minerals is one supply chain that the Australian Government is clearly identifying as a priority for government backing.”