Cavalier secures A$25.9M debt to push Crawford gold mine to production
What's the deal? Cavalier ResourcesDealroom has a profile for this one. Try Dealroom → (ASX: CVR) has signed binding term sheets for A$25.9 million ($18 million) in project debt financing to advance its Crawford Gold Project into production. The package comes from two lenders: a $13 million gold prepayment facility from Javelin Global Commodities and a $5 million gold loan facility from Ottomin GroupDealroom has a profile for this one. Try Dealroom →.
What's the endgame? The funds will cover site establishment, long-lead equipment procurement, construction, and working capital. Cavalier says the structure links repayment to future project cash flow and gold production, cutting its reliance on equity.
Why now? The financing follows a year of groundwork: an updated pre-feasibility study, signed native title and mining agreements, and completed Phase 1 heritage surveys. Interim chief executive officer Daniel Tuffin called the binding term sheets "one of the most significant milestones since the company's inception."
The terms: Under the Javelin arrangement, Cavalier will deliver roughly 6,999 ounces of refined gold over 20 months, with no cash interest and a 1.5% front-end fee, plus an offtake option for up to 50,000 ounces on completion. The Ottomin facility requires three equal cash instalments of $1.67 million in months 10, 11, and 12, also with no cash interest, and is tied to delivery of 1,166 ounces of gold plus 1.75 million options. Both lenders rank as equal senior secured creditors under an intercreditor agreement.
What could go wrong? The financings remain subject to final documentation, due diligence, and conditions precedent. Cavalier has entered a 45-day exclusivity period with Javelin and suspended talks with previously announced partner Raptor Capital International.
The signal: By leaning on gold-linked debt rather than share sales, Cavalier is protecting shareholders from dilution as it moves from study to construction — a step-up that turns Crawford from a development plan into a funded path to production.
Read more: en.wedoany.com
