Xanadu Mines (ASX:XAM) said it plans to meet with Zijin Mining Group, its joint venture partner for the Kharmagtai copper-gold project in Mongolia, in China in February to consider the scope, budget, and schedule for the final investment decision, according to an Australian bourse filing on Tuesday.
The transition of operatorship of the venture to Zijin was completed in the December 2024 quarter after the delivery of the pre-feasibility study.
As a result, Xanadu's Mongolian staff transferred to the Khuiten Joint Venture. It noted that the composition of the joint venture's board had not changed. Zijin appointed a general manager to manage the project from Ulaanbaatar.
Xanadu approved a joint venture budget of $2.1 million for the venture, contributing $1.1 million, and it will fund this using part of the proceeds of a recent equity offering.
The company is considering strategic options, which include securing funding for its 50% stake in the project until the next major decision point, a selldown of the project to a third party, or the sale of a part or its whole stake in the joint venture.
The firm's shares rose past 2% in recent trading on Tuesday.
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