Adriatic Metals PLC (LSE:ADT1, ASX:ADT, OTCQX:ADMLF) reported a cash balance of US$85.6 million at the half year stage and said it remains fully funded to project completion, following a recent fundraising and with further debt drawdown available.
The company said 88% of construction of the total Vares silver project in Bosnia & Herzegovina is complete and 94% of capital awarded, pending award or recently quoted.
Of its cash in the coffers, an outlay of US$75.7 million is expected in capex and exploration outflows pre-production, with the project expected to begin production of first processed ore in November, with first ore mined and stockpiled in July.
Another US$32 million was raised last month to finance an expanded and accelerated exploration programme at the Rupice and Rupice Northwest areas of the project, and a final US$30 million of Orion debt is also available for draw down in the second half of 2023 as required.
“Over the past few months the development rates at Rupice have improved significantly,” said chairman Michael Rawlinson alongside the results, hailing the increased productivity since the the accelerated development improvement plan was put in place at the end of June.
“We expect further improvement in Q3. I am very proud that in July we mined the first ore from Rupice and we are now stockpiling ore ahead of plant commissioning.”
On the construction of the processing plant, he said the flotation, filtration and workshop buildings are nearing completion, with all long-lead equipment either on site or in transit.
Mine site infrastructure, the haul road and additional infrastructure at the railhead and port are on track for completion in the third quarter too.
“The project is fully funded and remains on schedule for first concentrate production in November 2023.”