Australian copper producer Sandfire Resources NL will be debt-free nearly 12 months earlier than expected.
The company said Jan. 24 that it will repay the remaining A$50 million of a A$380 million finance facility, which was used to fund the development of the DeGrussa copper project in Western Australia, on Jan. 31.
Sandfire is able to pay back the debt earlier than expected as a result of its strong cash position and the improvement in the Australian dollar copper price over the past six months.
The company is now focusing on bringing its high-grade Monty deposit, located 10 kilometers east of DeGrussa, into production as quickly as possible.
A feasibility study is due for completion in the first quarter.
Sandfire said it will retain the undrawn A$85 million revolver and A$25 million working capital facilities with ANZ for additional flexibility in funding future growth initiatives, including the proposed development of the Monty deposit, which is part of the Springfield joint venture with Talisman Mining Ltd.