MATSA Resources has announced a capital raising to ensure gold production at its Norseman Gold Project, Western Australia stays on target to begin in the first quarter of 2010.
The company will exploit the North Scotia deposit within the project and the ore will be processed at fellow gold producer Focus Minerals' Three Mile Hill plant near Coolgardie starting from February 2010.
The mineral processing deal appears a win-win as Matsa's high-grade feedstock will enable Focus to ramp-up for Three Mile Hill plant to full-scale production.
The 1.2 million tonne per annum Three Mile Hill gold processing facility is due for commissioning in late 2009.
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