Australian mining and exploration company Axiom Mining Limited has announced that it has secured $4 million through a share placement and a convertible note issue to fund the development of its Isabel nickel project – one of the largest nickel laterite deposits in the Pacific – in the Solomon Islands.
According to the ASX Announcement, the company expects a further $5 million in funding from court cost claims, which Axiom will be entitled to receive upon obtaining a favourable ruling in the Court of Appeal hearing that begins next week.
“Today’s funding sets Axiom on track to proceed with development of the world class the Isabel Nickel Project, which is scheduled to be in production by late 2015,” Axiom said in the announcement, adding that it is currently involved in discussions with a number of industry participants who are interested in providing structured finance.
The company also said that it can get further funding on the conversion of $7.5 million of options that may be exercised over the next four months.
Before being taken over by Axiom, the Isabel Nickel Project was extensively explored and developed by mining and engineering industry leaders, International Nickel Company Limited (INCO) and Kaiser Engineering (Kaiser).