Augusta Gold (TSX: G) is one step closer to financing the development of the Reward gold project in Nevada. The company has managed to obtain a letter of interest in support of the development of the project from the Export-Import Bank of the United States.
The letter of interest suggests that EXIM could provide up to $50 million in project financing under the “Make More in America” initiative. The letter indicates that there is a preliminary interest from EXIM to assist in funding the development of the project. If approved, the funding would consist of a loan with a potential ten year repayment term, with a portion of the term being an interest-only period.
As per a feasibility study completed in September 2024, the Reward project requires $89.7 million in pre-production capital in order to turn the development project into a mine. The proposed mine is expected to produce 38,563 ounces of gold a year over an eight year period, pulling a total of 291,210 ounces out of the ground over the life of mine.
“This Letter of Interest from EXIM for over 50% of the project construction cost, marks a significant milestone for Augusta Gold and underscores the strategic importance of the Reward Project to domestic mineral production and economic development,” commented Don Taylor, CEO of Augusta Gold.
Augusta Gold last traded at $0.98 on the TSX.
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