Tartana Minerals partners with Mt Garnet Mineral Finance to process copper at Mungana plant

Tartana Minerals (ASX:TAT) has signed a binding heads of agreement with Mt Garnet Mineral Finance, the mortgagee in possession of Aurora Metals’ (ASX:ANX) assets, to form a joint venture aimed at processing copper ore at the Mungana plant.

The venture will focus on mining copper from the Tartana open pit and processing it at the Mungana plant, targeting an initial production of 5,000 to 10,000 tonnes of copper concentrate for sale to third-party smelters.

With the open pit optimisation and mine plan underway, Tartana aims to begin operations by the second half of 2025.

The Mungana plant, which was last operational in July 2023, is currently undergoing a detailed refurbishment review to assess the required repairs for production restart.

The venture is expected to generate cash flow once production begins, with costs shared equally after expenses, financing, and debt repayments.

The project's restart capex is estimated at under $10 million, with potential funding from third-party financiers and offtakers.

The heads of agreement outline terms for future development and processing of other mineralisation in the Chillagoe region, with a focus on Tartana’s exploration portfolio.

At the time of reporting, Tartana Minerals' share price was $0.038.