Encore Minerals Pty Ltd has made a positive final investment decision on the Windarra Tailings Project in Western Australia and exercised its option to move into the development phase under an existing agreement with Maritana Minerals Limited.

With the start of the development period, Maritana’s wholly owned subsidiary, Poseidon Nickel Pty Limited, has received a non-refundable cash payment of $400,000. Under the binding heads of agreement signed in July 2024, Poseidon is entitled to total cash payments of $1.25 million, which includes $250,000 received upon execution and $100,000 paid upon the exercise of an extended testing period.

Encore is now entirely responsible for funding, developing, operating, closing, and rehabilitating the project. The operation will utilise Draslovka’s proprietary glycine leaching technology to process gold tailings sourced from both the Windarra and Lancefield sites, located about 17 kilometres apart. In return, Maritana holds a 3% net smelter return royalty on production from Windarra tailings and a 1.5% royalty on Lancefield material, securing ongoing financial exposure at no capital cost.

As part of the investment decision, Encore delivered an updated definitive feasibility study confirming the project's technical and economic viability. While earlier studies also contemplated processing nickel tailings from the central dam, that work has been deferred until market conditions improve, narrowing the immediate project scope primarily to gold.

Poseidon is also set to receive a $1.6 million contribution toward the existing site rehabilitation bond upon the execution of a full-form agreement.

“The positive Final Investment Decision by Encore is a strong endorsement of the value remaining in the Windarra tailings and an important milestone in our strategy of unlocking value from every part of our asset portfolio.”

— Grant Haywood, Managing Director and CEO

Maritana is actively monetising non-core assets like Windarra to redirect capital and operational attention toward advancing its Black Swan Processing Hub.

Read the full announcement: Encore Makes Final Investment Decision on Windarra Tailings